Tiny Corp has the following information: Inventory at the end of May, for example, was only 40 units. The manager plans to implement a policy whereby finished-goods inventory is 60% of the following month's sales. Sales for the months of June, July, and August are expected to be 5,500 units, 6,100 units, and 5,900 units, respectively. Determine the number of units that Tiny must produce in June and July.
Tiny Corp has the following information: Inventory at the end of May, for example, was only 40 units. The manager plans to implement a policy whereby finished-goods inventory is 60% of the following month's sales. Sales for the months of June, July, and August are expected to be 5,500 units, 6,100 units, and 5,900 units, respectively. Determine the number of units that Tiny must produce in June and July.
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter8: Budgeting
Section: Chapter Questions
Problem 3CMA: Ming Company has budgeted sales at 6,300 units for July, and desires to have 590 good units on hand...
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Tiny Corp has the following information: Inventory at the end of May, for example, was only
40 units. The manager plans to implement a policy whereby finished-goods inventory is 60% of the following month's sales. Sales for the months of June, July, and August are expected to be 5,500 units, 6,100 units, and 5,900 units, respectively.
Determine the number of units that Tiny must produce in June and July.
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