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The company desires to have finished goods inventory on hand at the end of each month equal to 1 1 percent of the following month's

The company desires to have finished goods inventory on hand at the end of each month equal to 11 percent of the following month's budgeted unit sales. On June 30,2024, Sweet Crunch expects to have 5,995 bags of chips on hand. Use the @ROUNDUP function to round up to the nearest whole number of units in desired ending inventory. Prepare a Production budget.
The final profluct (bags of chips) requires two direct materials: sweet potatoes and packaging. 4 pounds of raw potatoes are required for each one-pound bag of potato chips. Management desires to have materials on hand (i.e., pounds of potatoes) at the end of each month equal to 20 percent of the following month's production needs. The beginning materials inventory, July 2024, is expected to be 44,560 pounds. Potatoes cost $1.20 per pound.
The Sweet Crunch Company produces and sells organic Sweet Potato Chips. The one-pound family size bag of chips has two direct materials - Organic Sweet Potatoes and packaging. The production process includes slicing the potatoes, lightly frying them, and lightly seasoning them with salt. Indirect materials include small amount of oil used to fry the chips and salt. Sweet Crunch is preparing budgets for the third quarter ending September 30,2024. For each requirement below prepare budgets by month for July, August, and September, and a total budget for the quarter.
The previous year's sales (2023) for the corresponding period were:
\table[[July,50,000 bags],[August,60,000 bags],[September,75,000 bags],[October,65,000 bags],[November,55,000 bags]]
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