Electro Company manufactures transmissions for electric cars. Management reports ending finished goods inventory for the first...
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Electro Company manufactures transmissions for electric cars. Management reports ending finished goods inventory for the first quarter at 60,000 units. The following unit sales are budgeted during the rest of the year: second quarter, 200,000 units; third quarter, 476,000 units; and fourth quarter, 264,000 units. Company policy calls for the ending finished goods inventory of a quarter to equal 30% of the next quarter's budgeted unit sales. Prepare a production budget for both the second and third quarters that shows the number of transmissions to manufacture. ELECTRO COMPANY Production Budget Second Quarter Third Quarter Next period budgeted sales units Desired ending inventory units Total required units Units to produce Electro Company manufactures transmissions for electric cars. Management reports ending finished goods inventory for the first quarter at 60,000 units. The following unit sales are budgeted during the rest of the year: second quarter, 200,000 units; third quarter, 476,000 units; and fourth quarter, 264,000 units. Company policy calls for the ending finished goods inventory of a quarter to equal 30% of the next quarter's budgeted unit sales. Prepare a production budget for both the second and third quarters that shows the number of transmissions to manufacture. ELECTRO COMPANY Production Budget Second Quarter Third Quarter Next period budgeted sales units Desired ending inventory units Total required units Units to produce
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Aroduction Budget Second Quarter Third Quarter Next peniod budget... View the full answer
Related Book For
Fundamental accounting principle
ISBN: 978-0078025587
21st edition
Authors: John J. Wild, Ken W. Shaw, Barbara Chiappetta
Posted Date:
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