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Production Budget: Solution Desried Ending Inv

The document presents a sales budget and production budget for Toyclay for the last six months of the year. The sales budget shows the projected monthly unit sales from July to December totaling 225,000 units. The production budget calculates the number of units that need to be produced each month to meet sales and maintain a desired ending inventory of 20,000 units.

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Cher Na
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120 views2 pages

Production Budget: Solution Desried Ending Inv

The document presents a sales budget and production budget for Toyclay for the last six months of the year. The sales budget shows the projected monthly unit sales from July to December totaling 225,000 units. The production budget calculates the number of units that need to be produced each month to meet sales and maintain a desired ending inventory of 20,000 units.

Uploaded by

Cher Na
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
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A sales budget for Toyclay for the last six months of the year ffs:

July - 40,000 units


August - 50,000 units
September - 70,000 units Budget Sales (U)
October - 35,000 units Add: Desired Ending Inv.
November - 20,000 units  Total Units Needed
December - 10,000 units Less: Beginning Inv.
Number of Units to be Produced

Solution
Desried Ending Inv
Production Budget
Months
July August September October
40,000 50,000 70,000 35,000
20,000 26,000 15,500 11,000
60,000 76,000 85,500 46,000
17,000 20,000 26,000 15,500
43,000 56,000 59,500 30,500

July August September October


5000+ 50,000x0.30 5000+ 70,000x0.30 5000+ 35,000x0.30 5000+ 20,000x0.30

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