.) Brinso Supply Corporation manufactures and sells cotton gauze. Expected sales of gauze (in boxes) for upcoming months are as follows: June 46,000 July 41,0 August 50,000 September 43,000 October 39,000 November 45,000 December 47,000 - Management likes to maintain a finished goods inventory equal to 15% he next month's estimated sales. Required: Prepare the company's production budget for the third quarter of this year (the months of July, August and September) nclude a column for each month and a total column for the entire quarter.

.) Brinso Supply Corporation manufactures and sells cotton gauze. Expected sales of gauze (in boxes) for upcoming months are as follows: June 46,000 July 41,0 August 50,000 September 43,000 October 39,000 November 45,000 December 47,000 - Management likes to maintain a finished goods inventory equal to 15% he next month's estimated sales. Required: Prepare the company's production budget for the third quarter of this year (the months of July, August and September) nclude a column for each month and a total column for the entire quarter.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Cahuilla Corporation predicts the following sales in units for the coming four months: April May June July Sales in units 240 280 300 240 Each month's ending Finished Goods Inventory should be 40% of the next month's sales. March 31 finished goods inventory is 96 units. A finished unit requires five pounds of direct material B at a cost of $2.00 per pound. The March 31 Raw Materials Inventory has 200 pounds of B. Each month's ending Raw Materials Inventory should be 30% of the following month's production needs. The budgeted production for May is: Select one: a. 288 units. b. 400 units. c. 232 units. d. 280 units. e. 168 units. Clear my choice
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