Question

Furniture, Inc., estimates the following number of mattress sales for the first four months of 2019. Month January February M

0 0
Add a comment Improve this question Transcribed image text
Answer #1

Answer: 93,640 mattresses

Calculations:

First Quarter
January February March Total
Sales units 23,000 33,800 36,600 93,400
Add: Ending inventory (20% of next month's sales) 6,760 7,320 7,040* 7,040
Less: Beginning inventory -6,800 -6,760 -7,320 -6,800
Production requirement 22,960 34,360 36,320 93,640

*35,200*20% = 7,040

Add a comment
Know the answer?
Add Answer to:
Furniture, Inc., estimates the following number of mattress sales for the first four months of 2019....
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Furniture, Inc., estimates the following number of mattress sales for the first four months of​ 2019:...

    Furniture, Inc., estimates the following number of mattress sales for the first four months of​ 2019: Month Sales January 27,000 February 34,800 March 32,600 April 37,200 Finished goods inventory at the end of December is 6,700 units. Target ending finished goods inventory is 10​%of the next​ month's sales. How many mattresses need to be produced in January​ 2019? A. 36,400 mattresses B. 23,780 mattresses C. 37,180 mattresses D. 23,000 mattresses

  • or the first four months of rurniture, Inc., estimates the following number of mattress sales for...

    or the first four months of rurniture, Inc., estimates the following number of mattress sales for the first four the year: Month Sales January 70,000 February 88,000 March 92,000 April 94,000 Finished goods inventory at the end of December is 14.000 units. Target ending finished goods inventory is 20% of the next month's sales. How many mattresses should be produced in the first quarter of the year (4 points)

  • Noel Enterprises has budgeted sales in units for the next five months as follows: January 6,800...

    Noel Enterprises has budgeted sales in units for the next five months as follows: January 6,800 units February 5.400 units March 7,200 units April 4,600 units May 3,800 units Past experience has shown that the ending inventory for each month must be equal to 10% of the next month's sales in units. The inventory on December 31 contained 400 units. The company needs to prepare a production budget for the second quarter of the year. Opening inventory in units for...

  • The controller of Harrington Company estimates sales and production for the first four months of 2020...

    The controller of Harrington Company estimates sales and production for the first four months of 2020 as follows: Sales Production in units January February $32,700 $41,000 1,100 1,400 March $53,400 2,000 April $27,300 2,700 Sales are 40% cash and 60% on account, and 60% of credit sales are collected in the month of the sale. In the month after the sale, 40% of credit sales are collected. It takes 4 kg of direct materials to produce a finished unit, and...

  • Noel Enterprises has budgeted sales in units for the next five months as follows: January 6,800...

    Noel Enterprises has budgeted sales in units for the next five months as follows: January 6,800 units February 5,400 units March 7,200 units April 4,600 units May 3,800 units Past experience has shown that the ending inventory for each month must be equal to 10% of the next month's sales in units. The inventory on December 31 contained 400 units. The company needs to prepare a production budget for the second quarter of the year. Desired ending inventory in units...

  • Layne Cedar manufactures cedar chests. The estimated number of chests for the first three months of...

    Layne Cedar manufactures cedar chests. The estimated number of chests for the first three months of 2016 is as follows: Month Sales January 10,000 February 14,000 March 13,000 Finished goods inventory at the end of December is 3,000 units. Ending finished goods are equal to 30 percent of next month's sales. April 2016 sales are expected to total 16,000 units. How many chests should be budgeted to be produced in the first quarter of 2016? 41,800 chests 38,800 chests 37,000...

  • The controller of Harrington Company estimates sales and production for the first four months of 2016...

    The controller of Harrington Company estimates sales and production for the first four months of 2016 as follows: January February March April Sales $32,300 $41,900 $53,200 $27,700 Production in units 1,050 1,640 2,110 2,600 Sales are 40% cash and 60% on account, and 60% of credit sales are collected in the month of the sale. In the month after the sale, 40% of credit sales are collected. It takes 4 kg of direct material to produce a finished unit, and...

  • Garver Industries has budgeted the following unit sales: 2020 January February March April May Units 10,000...

    Garver Industries has budgeted the following unit sales: 2020 January February March April May Units 10,000 8,000 9,000 11,000 15,000 The finished goods units on hand on December 31, 2019, was 2,000 units. Each unit requires 3 pounds of raw materials that are estimated to cost an average of $4 per pound. It is the company's policy to maintain a finished goods inventory at the end of each month equal to 20% of next month's anticipated sales. They also have...

  • ABC Company produces water pumps. The unit sales for the first four months of the year...

    ABC Company produces water pumps. The unit sales for the first four months of the year for this product are as follows: Unit Sales: January 162,000 February 198,000 March 180,000 April 216,000 Company maintains ending inventory for each month at 25% of next month's sales. However, at the beginning of January, due to greater sales in December than anticipated, the beginning inventory for January is   18,900 Required: a) Compute the total number of units that should be produced for the...

  • Garver Industries has budgeted the following unit sales: 2020 January February March April May Units 10,000...

    Garver Industries has budgeted the following unit sales: 2020 January February March April May Units 10,000 8,000 9,000 11,000 15,000 The finished goods units on hand on December 31, 2019, was 2,000 units. E n it requires 3 pounds of raw materials that ar pound. It is the company's policy to maintain a finished goods inventory at the end of each month equal to 20% of next month! maintaining a raw materials inventory at the end of each month equal...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT