Production budget Nafari Company's sales budget has the following unit sales projections for each quarter of Year 4: Quarter January-March Unit Sales April-June 1,512,000 1,904,000 1,372,000 July-September October-December 1,540,000 Total 6,328,000 Sales for the first quarter of Year 5 are expected to be 1,680,000 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 132,300 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. 1st 2nd QUARTER 3rd 4th Total Sales 0 0 0 0 0 ΕΙ 0 0 0 0 0 Total 0 0 0 0 0 BI 0 0 0 0 0 Production 0 0 0 0 0
Production budget Nafari Company's sales budget has the following unit sales projections for each quarter of Year 4: Quarter January-March Unit Sales April-June 1,512,000 1,904,000 1,372,000 July-September October-December 1,540,000 Total 6,328,000 Sales for the first quarter of Year 5 are expected to be 1,680,000 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 132,300 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. 1st 2nd QUARTER 3rd 4th Total Sales 0 0 0 0 0 ΕΙ 0 0 0 0 0 Total 0 0 0 0 0 BI 0 0 0 0 0 Production 0 0 0 0 0
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Production budget
Nafari Company's sales budget has the following unit sales projections for each quarter of Year 4:
Quarter
January-March
Unit Sales
April-June
1,512,000
1,904,000
1,372,000
July-September
October-December 1,540,000
Total
6,328,000
Sales for the first quarter of Year 5 are expected to be 1,680,000 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 132,300 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.
1st
2nd
QUARTER
3rd
4th
Total
Sales
0
0
0
0
0
ΕΙ
0
0
0
0
0
Total
0
0
0
0
0
BI
0
0
0
0
0
Production
0
0
0
0
0
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