For a production budget, the $\_\_\_\_\_\_\_\_\_$blank is the beginning inventory for the year.

multiple choice $1$

beginning inventory for the first quarter

beginning inventory for the last quarter

ending inventory for the last quarter

sum of beginning inventories for the four quarters

Knowledge Check $02$

Which of the following is a major factor that should be taken into consideration while planning the desired level of inventories?

multiple choice $2$

Costs of carrying inventory.

General administrative policy of the company.

Selling price of the finished product.

Statutory requirements.

Knowledge Check $03$

Vineyard Corporation, a manufacturer of fine wines, began the year with $20,000$ bottles in inventory. The company estimated the budgeted sales for the four quarters of the current year to be $200,000$ bottles, $150,000$ bottles, $250,000$ bottles, and $400,000$ bottles, respectively. The management feels that an ending inventory of $10\%$ of the subsequent quarter's sales is appropriate. What are the production needs for the first quarter?

multiple choice $3$

$160,000$ bottles

$175,000$ bottles

$195,000$ bottles

$215,000$ bottles

Knowledge Check $04$

Vineyard Corporation, a manufacturer of fine wines, began the year with $20,000$ bottles in inventory. The company estimated the budgeted sales for the four quarters of the current year to be $200,000$ bottles, $150,000$ bottles, $250,000$ bottles, and $400,000$ bottles, respectively. The management feels that an ending inventory of $10\%$ of the subsequent quarter's sales is appropriate. What is the desired ending inventory for the second quarter?

multiple choice $4$

$15,000$ bottles

$20,000$ bottles

$25,000$ bottles

$40,000$ bottles