Question

[The following information applies to the questions displayed below.] Shadee Corp. expects to sell 570 sun visors in May and 420 in June. Each visor sells for $22. Shadee's beginning and ending finished goods inventories for May are 90 and 55 units, respectively. Ending finished goods inventory for June will be 60 units.

Answer 1

1	Budgeted total sales for the months of May and June
	Particulars	May	June	Total
	No of units sold (A)	570	420	990
	Unit price (B)	$22	$22	$22.00
Ans	Total sales (C=A*B)	592	442	$1,034
2	Budgeted production in units for the months of May and June
	Particulars	May	June
	No of units sold (A)	570	420
	Add: Ending finished goods (B)	55	60
	Less: Opening finished goods (C)	-90	-55 (Previous month closing)
Ans	Production units (D=A+B-C)	535	425