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Production Budget Pasadena Candle Inc. projected sales of 39,000 candles for the

ID: 2788371 • Letter: P

Question

Production Budget

Pasadena Candle Inc. projected sales of 39,000 candles for the year. The estimated January 1 inventory is 2,700 units, and the desired December 31 inventory is 4,000 units.

Prepare a production budget report for Pasadena Candle Inc. For those boxes in which you must enter subtracted or negative numbers use a minus sign.

Expected units to be sold $

Desired ending inventory, December 31

Pasadena Candle Inc. Production Budget For the Year Ending December 31

Expected units to be sold $

Desired ending inventory, December 31

Total units available Estimated beginning inventory, January 1 Total units to be produced

Explanation / Answer

Expected sales 39000 candles.

Desired opening inventory= 2700 candles

Desired closing inventory= 4000 candles

Production for the year should be= 39000-2700+4000= 40300 candles.

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