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: Rumble Thunder Estimated inventory (units), June 1 308 99 Desired inventory (units), June 30 354 86 Expected sales volume (units): Midwest Region 4,400 4,950 South Region 5,700 6,450 Unit sales price $95 $225
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.
ales 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:
Rumble Thunder
Estimated inventory (units), June 1 308 99
Desired inventory (units), June 30 354 86
Expected sales volume (units):
Midwest Region 4,400 4,950
South Region 5,700 6,450
Unit sales price $95 $225
a. Prepare a sales budget.
Sonic Inc.
Sales Budget
For the Month Ending June 30
Product and Area Unit Sales Volume Unit Selling Price Total Sales
Model: Rumble
Midwest Region fill in the blank b94e4ffaa020042_1
$fill in the blank b94e4ffaa020042_2
$fill in the blank b94e4ffaa020042_3
South Region fill in the blank b94e4ffaa020042_4
fill in the blank b94e4ffaa020042_5
fill in the blank b94e4ffaa020042_6
Total fill in the blank b94e4ffaa020042_7
$fill in the blank b94e4ffaa020042_8
Model: Thunder
Midwest Region fill in the blank b94e4ffaa020042_9
$fill in the blank b94e4ffaa020042_10
$fill in the blank b94e4ffaa020042_11
South Region fill in the blank b94e4ffaa020042_12
fill in the blank b94e4ffaa020042_13
fill in the blank b94e4ffaa020042_14
Total fill in the blank b94e4ffaa020042_15
$fill in the blank b94e4ffaa020042_16
Total revenue from sales $fill in the blank b94e4ffaa020042_17
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
Units Rumble Units Thunder
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fill in the blank ee184cfd9fbb07b_3
fill in the blank
fill in the blank
Total units available fill in the blank
fill in the blank
fill in the blank
fill in the blank
Total units to be produced fill in the blank
fill in the blank
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