Nafari Companys sales budget has the following unit sales projections for each quarter of calendar year 2011:
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Nafari Company’s sales budget has the following unit sales projections for each quarter of calendar year 2011:
January–March ..........1,080,000
April–June ...........1,360,000
July–September ......... 980,000
October–December .........1,100,000
Total ..............4,520,000
Sales for the first quarter of 2012 are expected to be 1,200,000 units. Ending inventory of finished goods for each quarter is scheduled to equal 10 percent of the next quarter’s budgeted sales. The company’s Ending inventory on December 31, 2010, is estimated at 94,500 units. Develop a quarterly production budget for 2011 and for the year in total.
The ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula Ending Inventory Formula =...
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Related Book For
Cost Accounting Foundations and Evolutions
ISBN: 978-1111626822
8th Edition
Authors: Michael R. Kinney, Cecily A. Raiborn
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