Vibrant 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 1 800 200 Desired inventory (units), June 30 950 400 Expected sales volume (units): North Region 15,000 2,500 South Region 20,000 3,000 Unit sales price $140 $220 Question Content Area a. Prepare a sales budget. Vibrant Inc.Sales BudgetFor the Month Ending June 30 Product and Area Unit Sales Volume Unit Selling Price Total Sales Model Rumble: North Region fill in the blank 4271f3068fc9f82_1 $fill in the blank 4271f3068fc9f82_2 $fill in the blank 4271f3068fc9f82_3 South Region fill in the blank 4271f3068fc9f82_4 fill in the blank 4271f3068fc9f82_5 fill in the blank 4271f3068fc9f82_6 Total fill in the blank 4271f3068fc9f82_7 $fill in the blank 4271f3068fc9f82_8 Model Thunder: North Region fill in the blank 4271f3068fc9f82_9 $fill in the blank 4271f3068fc9f82_10 $fill in the blank 4271f3068fc9f82_11 South Region fill in the blank 4271f3068fc9f82_12 fill in the blank 4271f3068fc9f82_13 fill in the blank 4271f3068fc9f82_14 Total fill in the blank 4271f3068fc9f82_15 $fill in the blank 4271f3068fc9f82_16 Total revenue from sales $fill in the blank 4271f3068fc9f82_17 Feedback Area Feedback Once sales quantities are estimated, the expected sales revenue can be determined. Question Content Area b. Prepare a production budget. Vibrant Inc.Production BudgetFor the Month Ending June 30 Units Model Rumble Units Model Thunder Expected units to be sold fill in the blank b612cb0ad022f94_1 fill in the blank b612cb0ad022f94_2 Plus desired inventory, June 30 Plus desired inventory, June 30 Total units required fill in the blank b612cb0ad022f94_6 fill in the blank b612cb0ad022f94_7 Less estimated inventory, June 1 Less estimated inventory, June 1 Total units to be produced fill in the blank b612cb0ad022f94_11 fill in the blank b612cb0ad022f94_12
Vibrant 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 1 800 200 Desired inventory (units), June 30 950 400 Expected sales volume (units): North Region 15,000 2,500 South Region 20,000 3,000 Unit sales price $140 $220 Question Content Area a. Prepare a sales budget. Vibrant Inc.Sales BudgetFor the Month Ending June 30 Product and Area Unit Sales Volume Unit Selling Price Total Sales Model Rumble: North Region fill in the blank 4271f3068fc9f82_1 $fill in the blank 4271f3068fc9f82_2 $fill in the blank 4271f3068fc9f82_3 South Region fill in the blank 4271f3068fc9f82_4 fill in the blank 4271f3068fc9f82_5 fill in the blank 4271f3068fc9f82_6 Total fill in the blank 4271f3068fc9f82_7 $fill in the blank 4271f3068fc9f82_8 Model Thunder: North Region fill in the blank 4271f3068fc9f82_9 $fill in the blank 4271f3068fc9f82_10 $fill in the blank 4271f3068fc9f82_11 South Region fill in the blank 4271f3068fc9f82_12 fill in the blank 4271f3068fc9f82_13 fill in the blank 4271f3068fc9f82_14 Total fill in the blank 4271f3068fc9f82_15 $fill in the blank 4271f3068fc9f82_16 Total revenue from sales $fill in the blank 4271f3068fc9f82_17 Feedback Area Feedback Once sales quantities are estimated, the expected sales revenue can be determined. Question Content Area b. Prepare a production budget. Vibrant Inc.Production BudgetFor the Month Ending June 30 Units Model Rumble Units Model Thunder Expected units to be sold fill in the blank b612cb0ad022f94_1 fill in the blank b612cb0ad022f94_2 Plus desired inventory, June 30 Plus desired inventory, June 30 Total units required fill in the blank b612cb0ad022f94_6 fill in the blank b612cb0ad022f94_7 Less estimated inventory, June 1 Less estimated inventory, June 1 Total units to be produced fill in the blank b612cb0ad022f94_11 fill in the blank b612cb0ad022f94_12
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Concept explainers
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.
Question
Sales and Production Budgets
Vibrant 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 | 800 | 200 | |
| Desired inventory (units), June 30 | 950 | 400 | |
| Expected sales volume (units): | |||
| North Region | 15,000 | 2,500 | |
| South Region | 20,000 | 3,000 | |
| Unit sales price | $140 | $220 |
Question Content Area
a. Prepare a sales budget.
Product and Area |
Unit Sales Volume |
Unit Selling Price |
Total Sales |
| Model Rumble: | |||
| North Region | fill in the blank 4271f3068fc9f82_1 | $fill in the blank 4271f3068fc9f82_2 | $fill in the blank 4271f3068fc9f82_3 |
| South Region | fill in the blank 4271f3068fc9f82_4 | fill in the blank 4271f3068fc9f82_5 | fill in the blank 4271f3068fc9f82_6 |
| Total | fill in the blank 4271f3068fc9f82_7 | $fill in the blank 4271f3068fc9f82_8 | |
| Model Thunder: | |||
| North Region | fill in the blank 4271f3068fc9f82_9 | $fill in the blank 4271f3068fc9f82_10 | $fill in the blank 4271f3068fc9f82_11 |
| South Region | fill in the blank 4271f3068fc9f82_12 | fill in the blank 4271f3068fc9f82_13 | fill in the blank 4271f3068fc9f82_14 |
| Total | fill in the blank 4271f3068fc9f82_15 | $fill in the blank 4271f3068fc9f82_16 | |
| Total revenue from sales | $fill in the blank 4271f3068fc9f82_17 |
Feedback Area
Feedback
Once sales quantities are estimated, the expected sales revenue can be determined.
Question Content Area
b. Prepare a production budget.
| Units Model Rumble |
Units Model Thunder |
|
| Expected units to be sold | fill in the blank b612cb0ad022f94_1 | fill in the blank b612cb0ad022f94_2 |
|
|
Plus desired inventory, June 30 | Plus desired inventory, June 30 |
| Total units required | fill in the blank b612cb0ad022f94_6 | fill in the blank b612cb0ad022f94_7 |
|
|
Less estimated inventory, June 1 | Less estimated inventory, June 1 |
| Total units to be produced | fill in the blank b612cb0ad022f94_11 | fill in the blank b612cb0ad022f94_12 |
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