Question: QUESTION # 2 ( 3 5 marks ) CLO 4 Details March April May June Sales Forecast 2 0 2 3 Dove bar Zest bar

QUESTION #2(35 marks) CLO 4 Details March April May June Sales Forecast 2023 Dove bar Zest bar 2,200 units 2,300 units 1,750 units 2,250 units 2,000 units 1,900 units 1,400 units 1,600 units (i) To make one unit of Dove bar soap three (3) units of raw material Z508 is used One unit of Z508 costs $80. Zest bar soap uses two (2) units of raw material K500 which costs $60 each. (ii) The company has decided that raw material stocks at the end of each month should be held equivalent to twenty percent (20%) of the budgeted sales for the month in (iii) During the year, the company sold one unit of Dove bar soap for $280, while one unit of Zest bar soap was sold for $300.(iv) The decision was made that at the end of each month there should be in store, sufficient finished goods stock to meet thirty percent (30%) of the sales for the next month. Required: For the period, April to June prepare the following budgets: The sales budget for both products. The production budget for both products. The direct raw materials usage budget for both products. The direct raw materials purchase budget for both products. Briefly explain, using an example, what is meant by a "limiting budget factor".

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