High Flyers, Inc. manufactures remote controlled drones. The budgeted unit sales for the first quarter of 2022 by month are: January: 40,000 units February: 43,000 units and March: 50,000 units The company wishes to maintain an ending inventory of drones equal to 10% of the following month's expected sales. At the end of December 2021, the company expects to have 4,000 units on hand. Required: Prepare a production budget in good form for January and February of 2022. Make sure you have a completed heading and labels are used. The totals for the 2 months together are not needed
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.
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