3. Nizwa Traders is a manufacturing company which has two production plants and produces four different...

Transcribed Image Text:

3. Nizwa Traders is a manufacturing company which has two production plants and produces four different potatoes chips in each plant. Production Plant (I) produces Cheese, Salt, Tomato paste, and Masala:. The estimated stock levels and the sales budget information is available for the year 2020. Nizwa Traders working capital is OMR 300,000, cash balance OMR 80,000 and its total sales budgeted is OMR 310,000. Production Plant (I) Estimated Stock at the Estimated Stock at the Estimated Sales as per Sales Budget (Units) end of the Budgeted Beginning of the Budgeted Product Period(Units) Period (Units) 5,800 10,800 9,800 Cheese 33,900 6,900 9,900 Salt Tomato paste Masala 34,800 12,800 11,800 32,900 11,900 12,900 You are required to prepare a separate production budget for the plant.(4 marks) Analyse how the production budget helps to maximise profitability of the organization (1 Mark) 3. Nizwa Traders is a manufacturing company which has two production plants and produces four different potatoes chips in each plant. Production Plant (I) produces Cheese, Salt, Tomato paste, and Masala:. The estimated stock levels and the sales budget information is available for the year 2020. Nizwa Traders working capital is OMR 300,000, cash balance OMR 80,000 and its total sales budgeted is OMR 310,000. Production Plant (I) Estimated Stock at the Estimated Stock at the Estimated Sales as per Sales Budget (Units) end of the Budgeted Beginning of the Budgeted Product Period(Units) Period (Units) 5,800 10,800 9,800 Cheese 33,900 6,900 9,900 Salt Tomato paste Masala 34,800 12,800 11,800 32,900 11,900 12,900 You are required to prepare a separate production budget for the plant.(4 marks) Analyse how the production budget helps to maximise profitability of the organization (1 Mark)

Answer rating: 100% (QA)

1 Production Budget for the Plant Particulars Chee... View the full answer