Blue Wave Co. predicts the following unit sales for the coming four months: September, 3,300 units; October, 4,900 units; November, 6,700 units; and December, 7,900 units. The company's policy is to maintain finished goods inventory equal to 50% of the next month's sales. At the end of August, the company had 2,800 finished units on hand. Prepare a production budget for each of the months of September, October, and November. Blue Wave Co. Production Budget September, October and November
Blue Wave Co. predicts the following unit sales for the coming four months: September, 3,300 units; October, 4,900 units; November, 6,700 units; and December, 7,900 units. The company's policy is to maintain finished goods inventory equal to 50% of the next month's sales. At the end of August, the company had 2,800 finished units on hand. Prepare a production budget for each of the months of September, October, and November. Blue Wave Co. Production Budget September, October and November
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter8: Budgeting For Planning And Control
Section: Chapter Questions
Problem 15E: Palmgren Company produces consumer products. The sales budget for four months of the year is...
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![Blue Wave Co. predicts the following unit sales for the coming four months: September, 3,300 units; October, 4,900 units; November,
6,700 units; and December, 7,900 units. The company's policy is to maintain finished goods inventory equal to 50% of the next month's
sales. At the end of August, the company had 2,800 finished units on hand.
Prepare a production budget for each of the months of September, October, and November.
Blue Wave Co.
Production Budget
September, October and November
September
Next month's budgeted sales (units)
Units to be produced
%
October
%
November
%](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F377de1f2-92b4-42a3-adb4-beb4d9bc5553%2Fe2cbbdec-f00d-4df8-9a41-89c7b425418e%2Fun05nsd_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Blue Wave Co. predicts the following unit sales for the coming four months: September, 3,300 units; October, 4,900 units; November,
6,700 units; and December, 7,900 units. The company's policy is to maintain finished goods inventory equal to 50% of the next month's
sales. At the end of August, the company had 2,800 finished units on hand.
Prepare a production budget for each of the months of September, October, and November.
Blue Wave Co.
Production Budget
September, October and November
September
Next month's budgeted sales (units)
Units to be produced
%
October
%
November
%
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