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 2,210 units on May 31. Budgeted sales units June 4,420 July 6,920 August 3,920 Prepare the production budget for each month of June and July. Production Budget June July Desired ending inventory units Total required units 0 0 Units to produce

Principles of Cost Accounting
17th Edition
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Edward J. Vanderbeck, Maria R. Mitchell
Chapter7: The Master Budget And Flexible Budgeting
Section: Chapter Questions
Problem 1E: The sales department of Macro Manufacturing Co. has forecast sales for its single product to be...
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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 2,210 units on May 31.
Budgeted sales units
June
4,420
July
6,920
August
3,920
Prepare the production budget for each month of June and July.
Production Budget
June
July
Desired ending inventory units
Total required units
0
0
Units to produce
Transcribed Image Text: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 2,210 units on May 31. Budgeted sales units June 4,420 July 6,920 August 3,920 Prepare the production budget for each month of June and July. Production Budget June July Desired ending inventory units Total required units 0 0 Units to produce
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