Pascado produces tuna in cans. Sales budget for the first four months of the year

Company policy requires that a supply of materials the standard per month is 20 percent of the production required the following month.

This policy was complied with at 1 January 

Requested: 

a. Prepare a production budget for the first quarter of the year! Indicate the number of cans that should be produced each month and the total amount for one quarter?

b. Prepare a budget for purchasing direct raw materials for canned tuna and tuna in January and February

Transcribed Image Text:

shown below: Month January February March April Sales (Unit) 20,000 24,000 22,000 20,000 Sales (Dollar) $ 15,000 $ 18,000 $ 16,500 $ 15,000 shown below: Month January February March April Sales (Unit) 20,000 24,000 22,000 20,000 Sales (Dollar) $ 15,000 $ 18,000 $ 16,500 $ 15,000

Answer rating: 100% (QA)

b Budgeted Sales Add Closing inventory 35 of next month sales Total Needs Less Opening Inventory Pro... View the full answer