7/31/2018 Assignment Print Ve 2. Award: 10.00 points Doon Under Products, Ltd, o

Question

7/31/2018 Assignment Print Ve 2. Award: 10.00 points Doon Under Products, Ltd, of Australia has budgatad salles of its pepular boomerang for he next four months as folows Unt Salee 54,C00 75,000 94.000 82.000 April Tha company is now in the process of preparing a proaucticn budger for the second quarter. Past experience has shown that end-o-month inventory leves must equal 20% of the folowing month's unt sales. The in entory at the end of Maren was 10800 units Prepare s production buaget by menth and in total, for ths second quarter Down Under Products, Ltd. Production Budget April Msy June Quarter Butgated unts saias Total needs Required proouction in uni Hints Hint Cifficu: 1 Easy Learring Cojective: 08-03 P epare a production buget

Explanation / Answer

Production budget :

April May June Total Sales units 54000 75000 94000 223000 Add: Desired ending inventory 15000 18800 16400 16400 Total 69000 93800 110400 239400 Less; Beginning inventory -10800 -15000 -18800 -10800 Production unit 58200 78800 91600 228600

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