. Prepare a production budget. Enter all amounts as positive numbers.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
icon
Concept explainers
Question
Sales and Production Budgets
Bass Audio Company manufactures two models of speakers, U500 and S1000. Based on the following production and sales data for J
U500
s1000
Estimated inventory (units), June 1
227
56
Desired inventory (units), June 30
261
49
Expected sales volume (units):
Northeast Region
2,200
1,950
Southwest Region
5,250
4,550
Unit sales price
$125
$185
a. Prepare a sales budget. Enter all amounts as positive numbers.
BASS AUDIO COMPANY
Sales Budget
For the Month Ending June 30
Unit Sales
Unit Sales
Product and Area
Total Sales
Volume
Price
Model U500:
Northeast Region
2,200 V
125
275,000 V
Southwest Region
5,250 V
656,250 V
125
Total
7,450 V
931,250 V
Model S1000:
Northeast Region
1,950 V
185
360,750 V
Southwest Region
4,550 V
185 V
841,750 V
Total
6,500 V
1,202,500
Total revenue from sales
2,133,750
Transcribed Image Text:Sales and Production Budgets Bass Audio Company manufactures two models of speakers, U500 and S1000. Based on the following production and sales data for J U500 s1000 Estimated inventory (units), June 1 227 56 Desired inventory (units), June 30 261 49 Expected sales volume (units): Northeast Region 2,200 1,950 Southwest Region 5,250 4,550 Unit sales price $125 $185 a. Prepare a sales budget. Enter all amounts as positive numbers. BASS AUDIO COMPANY Sales Budget For the Month Ending June 30 Unit Sales Unit Sales Product and Area Total Sales Volume Price Model U500: Northeast Region 2,200 V 125 275,000 V Southwest Region 5,250 V 656,250 V 125 Total 7,450 V 931,250 V Model S1000: Northeast Region 1,950 V 185 360,750 V Southwest Region 4,550 V 185 V 841,750 V Total 6,500 V 1,202,500 Total revenue from sales 2,133,750
b. Prepare a production budget. Enter all amounts as positive numbers.
BASS AUDIO COMPANY
Production Budget
For the Month Ending June 30
U500
S1000
Expected units to be sold
7,450 V
6,500
Plus desired inventory, June 30
261 V
49
Total
7,711 V
6,549
Less estimated inventory, June 1
1,227 X
56 V
Total units to be produced
X
6,493 V
6,484
Transcribed Image Text:b. Prepare a production budget. Enter all amounts as positive numbers. BASS AUDIO COMPANY Production Budget For the Month Ending June 30 U500 S1000 Expected units to be sold 7,450 V 6,500 Plus desired inventory, June 30 261 V 49 Total 7,711 V 6,549 Less estimated inventory, June 1 1,227 X 56 V Total units to be produced X 6,493 V 6,484
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Budgeting
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education