Blossom Company estimates that unit sales will be 8,000 in quarter 1, 11,200 in quarter 2, 12,000 in quarter 3, and 14,400 in quarter 4. The sales price is $70 per unit. Management desires to have an ending finished goods inventory equal to 25% of the next quarter's expected unit sales. Prepare a production budget by quarters for the first 6 months of 2022. Expected Unit Sales Add V: Desired Ending Finished Goods Inventory Total Required Units Less Beginning Finished Goods Inventory Required Production Units BLOSSOM COMPANY Production Budget For the Six Months Ending June 30, 2022 1 8000 2800 10800 Quarter 2 11200 3000 14200 Six Months

Blossom Company estimates that unit sales will be 8,000 in quarter 1, 11,200 in quarter 2, 12,000 in quarter 3, and 14,400 in quarter 4. The sales price is $70 per unit. Management desires to have an ending finished goods inventory equal to 25% of the next quarter's expected unit sales. Prepare a production budget by quarters for the first 6 months of 2022. Expected Unit Sales Add V: Desired Ending Finished Goods Inventory Total Required Units Less Beginning Finished Goods Inventory Required Production Units BLOSSOM COMPANY Production Budget For the Six Months Ending June 30, 2022 1 8000 2800 10800 Quarter 2 11200 3000 14200 Six Months

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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