On January 1, 2023, the Whispering Winds Company budget committee reached agreement on the following data for the six months ending June 30, 2023: Sales units: First quarter 5,100; second quarter 6,200; third quarter 6,900 Ending raw materials inventory: 40% of the next quarter's production requirements Ending finished goods inventory: 25% of the next quarter's expected sales units 4. Third-quarter production: 7,100 units 1. 2. 3. The ending raw materials and finished goods inventories at December 31, 2022, had the same percentages for production and sales that are budgeted for 2022. 3 kilograms of raw materials are needed to make each unit of finished goods. Raw materials purchased are expected to cost $4 per kilogram. Prepare a production budget by quarters for the six-month period ended June 30, 2023.

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Chapter1: Financial Statements And Business Decisions
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On January 1, 2023, the Whispering Winds Company budget committee reached agreement on the following data for the six months
ending June 30, 2023:
1.
2.
3.
4.
Sales units: First quarter 5,100; second quarter 6,200; third quarter 6,900
Ending raw materials inventory: 40% of the next quarter's production requirements
Ending finished goods inventory: 25% of the next quarter's expected sales units
Third-quarter production: 7,100 units
The ending raw materials and finished goods inventories at December 31, 2022, had the same percentages for production and sales
that are budgeted for 2022. 3 kilograms of raw materials are needed to make each unit of finished goods. Raw materials purchased are
expected to cost $4 per kilogram.
Prepare a production budget by quarters for the six-month period ended June 30, 2023.
Transcribed Image Text:On January 1, 2023, the Whispering Winds Company budget committee reached agreement on the following data for the six months ending June 30, 2023: 1. 2. 3. 4. Sales units: First quarter 5,100; second quarter 6,200; third quarter 6,900 Ending raw materials inventory: 40% of the next quarter's production requirements Ending finished goods inventory: 25% of the next quarter's expected sales units Third-quarter production: 7,100 units The ending raw materials and finished goods inventories at December 31, 2022, had the same percentages for production and sales that are budgeted for 2022. 3 kilograms of raw materials are needed to make each unit of finished goods. Raw materials purchased are expected to cost $4 per kilogram. Prepare a production budget by quarters for the six-month period ended June 30, 2023.
Expected unit sales
Add
Total required units
Less
Required productions in units
Desired ending finished goods
Tavthook and Media.
Beginning finished goods inventory
Units to be produced
Direct materials per unit
Add
Total materials required
Less
Total materials required
Prepare a direct materials budget by quarters for the six-month period ended June 30, 2023.
Add
Desired ending inventory
Less
Beginning inventory
Direct materials per unit
H
Total materials required
Desired ending inventory
Total materials required.
Beginning inventory
Direct materials purchases.
Cost per kilogram
Total cost of materials purchases
WHISPERING WINDS COMPANY
Production Budget
For the Six Months Ending June 30, 2023
W
1
5100
Quarter
$
74400
6200
82800
WHISPERING WINDS COMPANY
Direct Materials Budget
For the Six Months Ending June 30, 2023
Quarter
$
$
2
31°C Mostly clear
21:21
Transcribed Image Text:Expected unit sales Add Total required units Less Required productions in units Desired ending finished goods Tavthook and Media. Beginning finished goods inventory Units to be produced Direct materials per unit Add Total materials required Less Total materials required Prepare a direct materials budget by quarters for the six-month period ended June 30, 2023. Add Desired ending inventory Less Beginning inventory Direct materials per unit H Total materials required Desired ending inventory Total materials required. Beginning inventory Direct materials purchases. Cost per kilogram Total cost of materials purchases WHISPERING WINDS COMPANY Production Budget For the Six Months Ending June 30, 2023 W 1 5100 Quarter $ 74400 6200 82800 WHISPERING WINDS COMPANY Direct Materials Budget For the Six Months Ending June 30, 2023 Quarter $ $ 2 31°C Mostly clear 21:21
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