Question

Production Budget Healthy Measures Inc. produces a Bath and Gym version of its popular electronic scale. The ant Bath Scale Gym Scale Northern Region unit sales Southern Region unit sales 22,600 37,200 24,400 25,600 47,000 62,800 Total The finished goods inventory estimated for March 1, for the Bath and Gym scale models is 1,800 the Bath and Gym scale models is 1,300 and 2,400 units, respectively. Prepare a production budget for the Bath and Gym scales for the month ended March 31. For thos Healthy Measures Inc. Production Budget For the Month Ending March 31 Units Bath Scale Units Gym Scale Total units available Total units to be produced

Answer 1

Answer :-

Q1:- Production Budget

Healthy Measures Inc.
Production Budget
For the Month Ending March 31
	Units Bath Scale	Units Gym Scale
Expected units to be sold (Anticipated unit sales Total)	47,000	62,800
Add:- Desired inventory, March 31	1,300	2,400
Total units available	48,300	65,200
Less :- Estimated inventory, March 1 (Finished Goods Inventory given in question)	(1,800)	(2,200)
Total units to be produced	46,500	63,000

Q2 :- Sale and Production Budget :

a. Prepare a sales budget.

SONIC INC.
Sales Budget
For the Month Ending June 30
Product and Area	Unit Sales Volume	Unit Selling Price	Total Sales (Unit sales volume × unit selling price)
Model Rumble:
Midwest Region	2,700	$135	$364,500
South Region	5,750	$135	$776,250
Total	8,450		$1,140,750
Model Thunder:
Midwest Region	3,000	$195	$585,000
South Region	6,500	$195	$1,267,500
Total	9,500		$1,852,500
Total revenue from sales (Total sale of model rumble and thunder)			$2,993,250

b. Prepare a production budget.

SONIC INC.
Production Budget
For the Month Ending June 30
	Units Rumble	Units Thunder
Expected units to be sold Total unit sales volume of model rumble and thunder)	8,450	9,500
Add :- Desired Inventory ,June 30	296	71
Total units required	8,746	9,571
Less :- Estimate inventory,June 1	(258)	(82)
Total units to be produced	8,488	9,489