Question
The Companys policy is to maintain a Finished Goods Inventory (FGI) equal to one-half of the following months sales. Use the information provided to complete
The Companys policy is to maintain a Finished Goods Inventory (FGI) equal to one-half of the following months sales. Use the information provided to complete the following production budget for the first quarter. Budgeted Sales for April are 7,000 doors.
January February March
Sales in Units 5,000 4,000 6,000
Desired Units of EFGI 2,000 _____? _____?
Desired Total Units 7,000
Less Desired Units of BFGI 2,500 ______? ______?
Total Production Units 4,500 ? ?
Show your work! EFGI means Ending Finished Goods Inventory; BFGI means Beginning Finished Goods Inventory;
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