Boots Style, Inc.Production BudgetFor the First Quarter of 2021ExtraJan.Feb.MarchTotalAprilSales budgetAdd: Ending inventory (20%)Total requirementsLess: Beginning inventoryProduction budget product line manufactured by Boots Styles, Inc.A sales budget for the first five months of 2021 is given on a certainbe met by Jan. 1. No work is in process at the end of each month.20% of the sales estimate for the next month. This requirement is expected toSales budget in unitsJanuaryFebruary157,000162,000204,000223,000245,000MarchAprilМayThe inventory of finished products at the end of each month is equal toEach unit of product requires two types of raw materials as follows:Material A4 unitMaterial B6 unitsThe estimated cost of Material A is P5.00 per unit, and the estimated costof Material B is PO.60 per unit. Materials equal to 30% of next month'sproduction needs are to be on hand at the end of each month. This requirementis expected to be met on Jan. 1.REQUIRED:1. Prepare a production budget for the first quarter of 2021 broken down bymonths. Include a total column.

Budgeting is a process of estimating the future activities of the business in order to keep the…

A sales budget for the first five months of 2021 is given on a certain product line manufactured by Boots Styles, Inc. Sales budget in units January February March 157,000 162,000 204,000 April Мay 223,000 245,000 The inventory of finished products at the end of each month is equal to s of the sales estimate for the next month. This requirement is expected to be met by Jan. 1. No work is in process at the end of each month. Each unit of product requires two types of raw materials as follows: Material A % unit Material B 6 units The estimated cost of Material A is P5.00 per unit, and the estimated cost of Material B is PO.60 per unit. Materials equal to 30% of next month's production needs are to be on hand at the end of each month. This requirement is expected to be met on Jan. 1. REQUIRED: 1. Prepare a production budget for the first quarter of 2021 broken down by months. Include a total column.

A sales budget for the first five months of 2021 is given on a certain product line manufactured by Boots Styles, Inc. Sales budget in units January February March 157,000 162,000 204,000 April Мay 223,000 245,000 The inventory of finished products at the end of each month is equal to s of the sales estimate for the next month. This requirement is expected to be met by Jan. 1. No work is in process at the end of each month. Each unit of product requires two types of raw materials as follows: Material A % unit Material B 6 units The estimated cost of Material A is P5.00 per unit, and the estimated cost of Material B is PO.60 per unit. Materials equal to 30% of next month's production needs are to be on hand at the end of each month. This requirement is expected to be met on Jan. 1. REQUIRED: 1. Prepare a production budget for the first quarter of 2021 broken down by months. Include a total column.

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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