Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Wright Lighting Fixtures forecasts its sales in units for the next four months as follows: March April 22,000 25.000 Wright maintains an ending inventory for
Wright Lighting Fixtures forecasts its sales in units for the next four months as follows: March April 22,000 25.000 Wright maintains an ending inventory for each month in the amount of one and one-half times the expected sales in the following month. The ending inventory for February (March's beginning inventory) reflects this policy. Materials cost $5 per unit and are paid for in the month after production. Labor cost is $9 per unit and is paid for in the month incurred. Fixed overhead is $20,500 per month Dividends of $21,700 are to be paid in May. The firm produced 22,000 units in February Complete a production schedule and a summary of cash payments for March, April, and May. Remember that production in any one month is equal to sales plus desired ending inventory minus beginning inventory Wright Lighting Fixtures Production Schedule March April May June Prolected unit sales Desired ending Inventory Total units required Beginning inventory Units to be produced Cash Payments February March April May Units produced Material oost Labor cost Fixed overhead Didends Total cash payments
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started