Nafari Company's sales budget has the following unit sales projections for each quarter of Year 4: Quarter Unit Sales January-March 648,000 April-June 816,000 July-September 588,000 October-December 660,000 Total 2,712.000 Sales for the first quarter of Year 5 are expected to be 720,000 units. Ending inventory of finished goods for each quarter is scheduled to equal 10 percent of the next quarter's budgeted sales. The company's ending inventory on December 31, Year 3, is estimated at 56,700 units. Develop a quarterly production budget for Year 4 and for Year 4 in total.

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Production budget
Nafari Company's sales budget has the following unit sales projections for each quarter of Year 4:
Quarter
Unit Sales
January-March
648,000
April-June
816,000
July-September
588,000
October-December
660,000
Total
2,712,000
Sales for the first quarter of Year 5 are expected to be 720,000 units. Ending inventory of finished goods for each quarter is
scheduled to equal 10 percent of the next quarter's budgeted sales. The company's ending inventory on December 31, Year 3,
is estimated at 56,700 units. Develop a quarterly production budget for Year 4 and for Year 4 in total.
Note: Use a negative sign in your schedule to indicate that an amount is subtracted.
QUARTER
1st
2nd
Зrd
4th
Total
Sales
El
Total
BI
Production
Transcribed Image Text:Question 1 Answer saved P Flag question Production budget Nafari Company's sales budget has the following unit sales projections for each quarter of Year 4: Quarter Unit Sales January-March 648,000 April-June 816,000 July-September 588,000 October-December 660,000 Total 2,712,000 Sales for the first quarter of Year 5 are expected to be 720,000 units. Ending inventory of finished goods for each quarter is scheduled to equal 10 percent of the next quarter's budgeted sales. The company's ending inventory on December 31, Year 3, is estimated at 56,700 units. Develop a quarterly production budget for Year 4 and for Year 4 in total. Note: Use a negative sign in your schedule to indicate that an amount is subtracted. QUARTER 1st 2nd Зrd 4th Total Sales El Total BI Production
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