A company's budgeted sales in units for the next three months follow. The company wants to maintain ending finished goods inventory at 50% of next month's sales in units. The company has finished goods inventory of 2,350 units on May 31. July August 4,200 Budgeted sales units. 7,200 Prepare the production budget for each month of June and July. Desired ending inventory units Total required units Units to produce June 4,700 Production Budget June 0 July 0
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
a1.
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
