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Production budget The desired ending inventory for the 1 st Quarter = 2000 The desired ending inventory for the 2 nd Quarter = 3000 The

Production budget

  • The desired ending inventory for the 1st Quarter = 2000
  • The desired ending inventory for the 2nd Quarter = 3000
  • The desired ending inventory for the 3rd Quarter = 5000
  • The desired ending inventory for the 4th Quarter = 6000

  1. Calculate the budgeted production in units.

Units of Production

1st Quarter

2nd Quarter

3rd Quarter

4th Quarter

Projected unit sales.......

15000

17000

22000

23000

Add Desired ending inventory

Units available for sale (Projected unit sales + Desired ending inventory) .

Less beginning inventory..........

Budgeted production in units..

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