Sales and Production Budgets Sonic Inc. manufactures two models of speakers, Rumble and Thunder. Based on the following production and sales data for June, prepare (a) a sales budget and (b) a production budget: Estimated inventory (units), June 1 Desired inventory (units), June 30 Expected sales volume (units): Midwest Region South Region Unit sales price a. Prepare a sales budget. Product and Area Model: Rumble Midwest Region South Region Total Model: Thunder Midwest Region South Region Total Total revenue from sales Feedback. Check My Work Expected units to be sold ✓ Desired inventory, June 30 ✔ Rumble Total units available Estimated inventory, June 1 750 Total units to be produced 500 12,000 14,000 $60 Sonic Inc. Sales Budget For the Month Ending June 30 Unit Sales Volume Unit Selling Price Total Sales Thunder QO 300 250 b. Prepare a production budget. For those boxes in which you must enter subtracted or negative numbers use a minus sign. Sonic Inc. Production Budget For the Month Ending June 30 3,500 4,000 $90 Units Rumble Units Thunder
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.
![Sales and Production Budgets
Sonic Inc. manufactures two models of speakers, Rumble and Thunder. Based on the following production and sales data for June, prepare
(a) a sales budget and (b) a production budget:
Estimated inventory (units), June 1
Desired inventory (units), June 30
Expected sales volume (units):
Midwest Region
South Region
Unit sales price
a. Prepare a sales budget.
Product and Area
Model: Rumble
Midwest Region
South Region
Total
Model: Thunder
Midwest Region
South Region
Total
Total revenue from sales
Feedback.
Check My Work
Expected units to be sold ✓
Desired inventory, June 30 ✔
Rumble
Sonic Inc.
Sales Budget
For the Month Ending June 30
Unit Sales Volume
Total units available
Estimated inventory, June 1
750
Total units to be produced
500
12,000
14,000
$60
Thunder
300
250
3,500
4,000
$90
b. Prepare a production budget. For those boxes in which you must enter subtracted or negative numbers use a minus sign.
Sonic Inc.
Production Budget
For the Month Ending June 30
Unit Selling Price Total Sales
QO
QOOO
Units Rumble Units Thunder](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F88d58220-4c99-4038-b9cd-5ff14daeb0cb%2F9ceb8d82-6935-438b-84e0-7a48a4f076e9%2F01r50dx_processed.jpeg&w=3840&q=75)
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