Question: Volt Battery always keeps an ending inventory equal to 120% of the next month's expected sales. The ending inventory for December (January's beginning inventory) is

 Volt Battery always keeps an ending inventory equal to 120% of

Volt Battery always keeps an ending inventory equal to 120% of the next month's expected sales. The ending inventory for December (January's beginning inventory) is 2.760 units, which is consistent with this policy. Materials cost $15 per unit and are paid for in the month after purchase. Labor cost is $8 per unit and is paid in the month the cost is incurred. Overhead costs are $15,000 per month. Interest of $9, 800 is scheduled to be paid in March, and employee bonuses of $15,000 will be paid in June. a. Prepare a monthly production schedule for January through June. b. Prepare a monthly summary of cash payments for January through June. Volt produced 2, 400 units in December. Volt Battery always keeps an ending inventory equal to 120% of the next month's expected sales. The ending inventory for December (January's beginning inventory) is 2.760 units, which is consistent with this policy. Materials cost $15 per unit and are paid for in the month after purchase. Labor cost is $8 per unit and is paid in the month the cost is incurred. Overhead costs are $15,000 per month. Interest of $9, 800 is scheduled to be paid in March, and employee bonuses of $15,000 will be paid in June. a. Prepare a monthly production schedule for January through June. b. Prepare a monthly summary of cash payments for January through June. Volt produced 2, 400 units in December

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