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The previous years sales for the corresponding period were: October 50,000 bags November 55,000 bags December 90,000 bags January 75,000 bags February 60,000 bags The
- The previous years sales for the corresponding period were:
October 50,000 bags
November 55,000 bags
December 90,000 bags
January 75,000 bags
February 60,000 bags
The company expects the above volume of coffee sales to increase by 8% for the period October 2019 February 2020. The budgeted selling price for 2019 is $19.50 per bag. The company expects 35% of its sales to be cash (COD) sales. The remaining 65% of sales will be made on credit. Prepare a Sales Budget for GBCoffee.
- The company desires to have finished goods inventory on hand at the end of each month equal to 10 percent of the following month's budgeted unit sales. On September 30, 2019, GBCoffee expects to have 5,350 bags of roasted coffee on hand. Prepare a Production budget.
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