Rossano, Inc., makes and sells drum sets. Nick Ross, controller, is responsible for preparing the master budget. The sales manager has given Nick the following sales forecast for the coming months.   April May June July Forecasted unit sales 12,000 15,000 10,000 11,000 Rossano expects to have 6,000 drum sets in ending inventory on March 31. The company's policy is to carry 30% of the following month's projected sales in ending inventory. What is Rossano's production budget for the second quarter

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Preparing a production budget Rossano, Inc., makes and sells drum sets. Nick Ross, controller, is responsible for preparing the master budget. The sales manager has given Nick the following sales forecast for the coming months.

 
April
May
June
July
Forecasted unit sales 12,000 15,000 10,000 11,000

Rossano expects to have 6,000 drum sets in ending inventory on March 31. The company's policy is to carry 30% of the following month's projected sales in ending inventory.

What is Rossano's production budget for the second quarter?

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