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Pls show all the work :) KuoKuts makes one product and it provided the following information to help prepare the master budget for its first
Pls show all the work :)
KuoKuts makes one product and it provided the following information to help prepare the master budget for its first four months of operations: - The budgeted selling price per unit is $70. Budgeted unit sales for May, June, July, and August are 8,000, 11,000, 13,000, and 12,000 units, respectively. All sales are on credit. - 35% of credit sales are collected in the month of the sale and 65% in the following month. - The ending finished goods inventory equals 30% of the following month's unit sales. - The ending raw materials inventory equals 22% of the following month's raw materials production needs. Each unit of finished goods requires 6 pounds of raw materials. The raw materials cost $6.00 per pound. - 25% of raw materials purchases are paid for in the month of purchase and 75% in the following month. According to the production budget, how many units should be produced in June? Round your answer to the nearest whole numberStep by Step Solution
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