Question

The following information applies to the questions displayed below) Shadee Corp. expects to sell 570 sun visors in May and 300 in June. Each visor sells for $20. Shadee's beginning and ending finished goods inventories for May are 85 and 40 units, respectively. Ending finished goods Inventory for June will be 60 units 2.00 points Required information Required: 1. Determine Shadeo's budgeted total sales for May and Juno. May June Budgeted Total Sales 2. Determine Shadee's budgeted production in units for May and June May June Budgeted Production (Units)

Answer 1

1) Budgeted Total Sales for May and June May Units Sold Selling Price $ Budgetd Total Sales $ June 570 300 20 $ 20 11,400 $ 6,000 Total Slaes = Units Sold * Selling price per unit Budgeted Production in Units for May and June Units Sold Add : Ending Finished Goods May | 570 40 610 June 300 60 360 851 40 Less : Beginning Finished Goods Budgeted Production 525 320 Production Units = Units Sold + Ending inventory - Beginning Inventory

Note : Ending inventory of May will be the Beginning Inventory of June.