The Suzuki Co. in Japan has a division that manufactures two-wheel motorcycles. Its budgeted sale for Model G in 2013 is 850,000 units. Suzuki's target ending inventory is 80,000 units, and its beginning inventory is 100,000 units. The company's budgeted selling price to its distributors and dealers is 400,000 Yuan per motorcycle. Suzuki buys all its wheels from an outside supplier. No defective wheels are accepted. (Suzuki's needs for extra wheels for replacement parts are ordered by a separate division of the company.) The company's target ending inventory is 60,000 wheels, and its beginning inventory is 50,000 wheels. The budgeted purchase price is 16,000 Yuan per wheel. a) Compute the budgeted revenues in Yuan. b) Compute the number of motorcycles to be produced. c) Compute the budgeted purchases of wheels in units and in Yuan.

The Suzuki Co. in Japan has a division that manufactures two-wheel motorcycles. Its budgeted sale for Model G in 2013 is 850,000 units. Suzuki's target ending inventory is 80,000 units, and its beginning inventory is 100,000 units. The company's budgeted selling price to its distributors and dealers is 400,000 Yuan per motorcycle. Suzuki buys all its wheels from an outside supplier. No defective wheels are accepted. (Suzuki's needs for extra wheels for replacement parts are ordered by a separate division of the company.) The company's target ending inventory is 60,000 wheels, and its beginning inventory is 50,000 wheels. The budgeted purchase price is 16,000 Yuan per wheel. a) Compute the budgeted revenues in Yuan. b) Compute the number of motorcycles to be produced. c) Compute the budgeted purchases of wheels in units and in Yuan.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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