Bledso Supply Corporation manufactures and sells cotton gauze. Expected sales of gauze (in boxes) for upcoming months are as follows:
|
June |
36,000 |
|
July |
40,000 |
|
August |
50,000 |
|
September |
38,000 |
|
October |
30,000 |
|
November |
24,000 |
|
December |
35,000 |
Management likes to maintain a finished goods inventory equal to 25% of the next month”s estimated sales.
Required:
Prepare the company”s production budget for the third quarter of this year (the months of July, August and September) in good form. Include a column for each month and a total column for the entire quarter.