(this is what it said in the 2nd picture, just in case the picture is not clear) Each acoustic guitar requires a maple neck blank, which Crane purchases for $40. On December 31, 2017, Crane had 390 neck blanks in inventory. Spoilage during the production process results in a standard quantity of 1.5 necks per acoustic guitar. Because of recent delivery problems, Crane wants to maintain an ending inventory equal to 50% of the following quarters production needs. Since the supplier has assured Crane that the delivery issues will be resolved by the end of December, Crane wants only 370 neck blanks in inventory on December 31, 2018. Prepare the purchases budget for neck blanks for 2018. (Enter "per guitar" value to 1 decimal place, e.g. 3.1. Round all other answers to 0 decimal places, e.g. 153.)

Your answer is correct. On December 31, 2017, Crane had 30 acoustic guitars in stock-fewer than the desired inventory level of 84 guitars, based 2019. Prepare the 2018 production budget for acoustic guitars. the following quarter's sales. The company has budgeted sales of 240 acoustic guitars in the first quarter of Production Budget th Quarter 1st quarter 3rd Quarter Annual Quarter 210 Budgeted unit sales 79 270 345 1,115 Budgeted ending inventory 108 116 138 96 Total units required 318 386 428 441 1,211 Beginning inventory 30 10B 116 138 30 288 Budgeted production 278 312 303 1,181 Each acoustic guitar requires a maple neck blank, which Crane purchases for $40. On December 3 acoustic quitar, Because of recent delvery problems, Crane wants to maintain the end of December, Crane wants only 370 neck blanks in inventory on December 31, 2018. Prepare the purchases budget for neck blanks for 2018. (Enter "per guitar" value to 1 decimal place, e.g. 3.1. Round all other answers ecimal place 2017, Crane had 390 neck blanks in inventory. Spoilage during the produ process results in a standard quantity of 1.5 necks per ending inventory equal to 50 % of the following quarter's production needs. Since the supplier has assured Crane that the delivery issues will be resolved by e.g. 153.) Purchases Budget 2nd Quarter 3rd Quarter 4th Quarter 1st Quarter Annual Budgeted production 27 280 12 303 1,181 Standard necks per guitan 1.5 1.5 1.5 1.5 1.! Production needs 32 417 466 455 1,772 Budgeted ending inventory 209 234 222 886 886 Total DM required (necks) 651 641 695 1.340 2,657 Beginning inventory 37 370 x Budgeted purchases (necks) 271 2,287 Standard price per neck 40 40 40 Budgeted purchases cost 10,820 91,490