A.
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The finished goods inventory on hand at the end of each month must be equal to 6,000 units of Supermix plus 35% of the next month’s sales. The finished goods inventory on June 30 is budgeted to be 19,650 units. B.The raw materials inventory on hand at the end of each month must be equal to one half of the following month’s production needs for raw materials. The raw materials inventory on June 30 is budgeted to be 85,000 cc of solvent H300. C. |
| The company maintains no work in process inventories. A sales busget for Supermix for the last 6 months is as follow: July 39,000, August 49,000, Set. 69,000, Oct. 34,000, Nov, 19,000 and Dec. 9,000 What is the budgeted sales for each month? The desired ending & beginning inventory for each month? |