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help with portion B please Hill industries had sales in 2021 of $6,800,000 and gross proth of $1.100,000. Management is conaidering two alternative budget plans
help with portion B please
Hill industries had sales in 2021 of $6,800,000 and gross proth of $1.100,000. Management is conaidering two alternative budget plans to increase its gross profit in 2022. Plan A would increase the unit selling price from 58 to 5B. 4.5 ales volume wpeld decrease by 125.000 units from its 2021 level. Plan 8 would decrease the unit selling price by $0.5. The marlicting departinent espects that the sales volume would increase by 130,000 units. At the end of 2021. Hili has 40,000 units of inventory on hand. it Plan A is accepted, the 2022 ending inventory should be 35,000 units. If Plan B is accepted, the ending inventory should be equal to 60.000 units. Exch unit produced will cost 51.50 in direct labor, $1.30 in direct materials, and 51.20 in variable overhead. The fived over head for 2022 should be $1.895.000. (a) Prepare a sales budget for 2022 under exch plan iflound Unit sell tre price asseers to 2 decimal pleces, es. 52.70 J (b) Prepare a production budget for 2022 under each plan: Propere aproduction budete in 2022 weter ewh buth (de) Step by Step Solution
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