Assume that Stillwater Designs produces two automotive subwoofers: S12L7 and S12L5. The S12L7 sells for $475,...

Assume that Stillwater Designs produces two automotive subwoofers: S12L7 and S12L5. The S12L7 sells for $475, and the S12L5 sells for $300. Projected sales (number of speakers) for the coming five quarters are as follows:

	S12L7	S12L5
First quarter, 20Y1	880	1,430
Second quarter, 20Y1	2,420	1,540
Third quarter, 20Y1	6,160	5,830
Fourth quarter, 20Y1	5,060	4,290
First quarter, 20Y2	990	1,320

The vice president of sales believes that the projected sales are realistic and can be achieved by the company.

Stillwater Designs needs a production budget for each product (representing the amount that must be outsourced to manufacturers located in Asia). Beginning inventory of S12L7 for the first quarter of 20Y1 was 340 boxes. The company's policy is to have 20% of the next quarter's sales of S12L7 in ending inventory. Beginning inventory of S12L5 was 170 boxes. The company's policy is to have 30% of the next quarter's sales of S12L5 in ending inventory.

Required:

Prepare a production budget for each quarter for 20Y1 and for the year in total.

Stillwater Designs
Production Budget for S12L7
For the Year Ended December 31, 20Y1
	1st Qtr.	2nd Qtr.	3rd Qtr.	4th Qtr.	Year
Sales	fill in the blank 54c826f7d04e058_1	fill in the blank 54c826f7d04e058_2	fill in the blank 54c826f7d04e058_3	fill in the blank 54c826f7d04e058_4	fill in the blank 54c826f7d04e058_5
Desired ending inventory	fill in the blank 54c826f7d04e058_6	fill in the blank 54c826f7d04e058_7	fill in the blank 54c826f7d04e058_8	fill in the blank 54c826f7d04e058_9	fill in the blank 54c826f7d04e058_10
Total needs	fill in the blank 54c826f7d04e058_11	fill in the blank 54c826f7d04e058_12	fill in the blank 54c826f7d04e058_13	fill in the blank 54c826f7d04e058_14	fill in the blank 54c826f7d04e058_15
Less: Beginning inventory	fill in the blank 54c826f7d04e058_16	fill in the blank 54c826f7d04e058_17	fill in the blank 54c826f7d04e058_18	fill in the blank 54c826f7d04e058_19	fill in the blank 54c826f7d04e058_20
Units produced	fill in the blank 54c826f7d04e058_21	fill in the blank 54c826f7d04e058_22	fill in the blank 54c826f7d04e058_23	fill in the blank 54c826f7d04e058_24	fill in the blank 54c826f7d04e058_25

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Partially correct

Prepare a production budget for each quarter for 20Y1 and for the year in total. If required, round your answers to nearest whole value.

Stillwater Designs
Production Budget for S12L5
For the Year Ended December 31, 20Y1
	1st Qtr.	2nd Qtr.	3rd Qtr.	4th Qtr.	Year
Sales	fill in the blank c9961df46001fb3_1	fill in the blank c9961df46001fb3_2	fill in the blank c9961df46001fb3_3	fill in the blank c9961df46001fb3_4	fill in the blank c9961df46001fb3_5
Desired ending inventory	fill in the blank c9961df46001fb3_6	fill in the blank c9961df46001fb3_7	fill in the blank c9961df46001fb3_8	fill in the blank c9961df46001fb3_9	fill in the blank c9961df46001fb3_10
Total needs	fill in the blank c9961df46001fb3_11	fill in the blank c9961df46001fb3_12	fill in the blank c9961df46001fb3_13	fill in the blank c9961df46001fb3_14	fill in the blank c9961df46001fb3_15
Less: Beginning inventory	fill in the blank c9961df46001fb3_16	fill in the blank c9961df46001fb3_17	fill in the blank c9961df46001fb3_18	fill in the blank c9961df46001fb3_19	fill in the blank c9961df46001fb3_20
Units produced	fill in the blank c9961df46001fb3_21	fill in the blank c9961df46001fb3_22	fill in the blank c9961df46001fb3_23	fill in the blank c9961df46001fb3_24	fill in the blank c9961df46001fb3_25

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Expert Solution

ekkarill92 answered 10 months ago

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