Question
JudaJuda Foods produces specialty soup sold in jars. The projected sales in dollars and jars for each quarter of the upcoming year are as follows:
JudaJuda
Foods produces specialty soup sold in jars. The projected sales in dollars and jars for each quarter of the upcoming year are as follows:
|
| Total sales revenue | Number of jars sold | |
| 1st quarter. . . . | $182,000 | 154,500 | |
| 2nd quarter. . . | $218,000 | 180,000 | |
| 3rd quarter. . . . | $259,000 | 213,500 | |
| 4th quarter. . . . |
| $195,000 | 165,000 |
JudaJuda
anticipates selling
223,000
jars with total sales revenue of
260,000
in the first quarter of the year following the year given in the preceding table.
JudaJuda
has a policy that the ending inventory of jars must be
20 %
of the following quarter's sales.
Requirement
Prepare a production budget for the year that shows the number of jars to be produced each quarter and for the year in total.
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