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Help The Volt Battery Company has forecast its sales in units as follows January February March April 2,900 May 2,750 June 3,600 2,700 July 3,200
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The Volt Battery Company has forecast its sales in units as follows January February March April 2,900 May 2,750 June 3,600 2,700 July 3,200 3,450 3,300 Volt Battery always keeps an ending inventory equal to 110% of the next month's expected sales. The ending inventory for December January's beginning inventory) is 3,190 units, which is consistent with this policy Materials cost $12 per unit and are paid for in the month after purchase. Labor cost is $5 per unit and is paid in the month the cost is incurred. Overhead costs are $16,500 per month. Interest of $10,100 is scheduled to be paid in March, and employee bonuses of $15,300 will be paid in June a. Prepare a monthly production schedule for January through June Volt Battery Company Summary of Cash Payment:s January February March April May June July Projected unit sales Desired ending inventory Total units required Beginning inventory Units to be produced b. Prepare a monthly summary of cash payments for January through June. Volt produced 2,700 units in December Volt Battery Company Summary of Cash Payments December January February March April May June Units produced Material cost Labor cost Overhead cost Interest Employee bonuses Total cash paymentsStep by Step Solution
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