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Assume you are starting a new business involving the manufacture and sale of a new product....

Assume you are starting a new business involving the manufacture and sale of a new product. Raw materials costs are $45 per product. Direct labor costs are expected to be $26 per product, Manufacturing Overhead is expected to cost $16 per product. You expect to sell each product for $176. You plan to produce 110 products next month and expect to sell 85 products. During the second month, you plan to produce 130 products but expect sales in the month to be 110 products. During the third month you expect to produce 120 products but sell 145 products Prepare a production schedule (units & dollars), and finished goods inventory schedule (units & dollars), and the top part of an income statement (sales, cost of goods sold and gross profit) for the three months.

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jeff jeffy answered 2 years ago
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