Question

In: Accounting

Production Budget Accu-Weight, Inc. produces a small and large version of its popular electronic scale. The...

Production Budget

Accu-Weight, Inc. produces a small and large version of its popular electronic scale. The anticipated unit sales for the scales by sales region are as follows:

Small Scale Large Scale
North Region unit sales 25,900 34,100
South Region unit sales 28,000 29,400
Total 53,900 63,500

The finished goods inventory estimated for May 1, 2017, for the small and large scale models is 1,900 and 2,600 units, respectively. The desired finished goods inventory for May 31, 2017, for the small and large scale models is 1,400 and 2,800 units, respectively.

Prepare a production budget for the small and large scales for the month ended May 31, 2017.

Accu-Weight, Inc.
Production Budget
For the Month Ending May 31, 2017
Units Small Scale Units Large Scale
Expected units to be sold
Total
Total units to be produced

Solutions

Expert Solution

--Requirement asked

Accu-Weight, Inc.
Production Budget
For the Month Ending May 31, 2017
Units Small Scale Units Large Scale
Expected units to be sold                53,900                63,500
Add: Desired ending inventory of finished goods                  1,400                  2,800
Total                55,300                66,300
Less: Beginning finished goods inventory                  1,900                  2,600
Total units to be produced                      53,400                      63,700

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