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Batista Company _Production Budget




Question;On January 1, 2013 the Batista Company budget;committee has reached agreement on the following data for the 6 months ending;June 30, 2013.;Sales;units: First quarter 5,000, second quarter 6,000, third quarter 7,000;Ending;raw materials inventory: 50% of the next quarter's production requirements;Ending;finished goods inventory: 30% of the next quarter's expected sales units;Third-quarter;production: 7,250 units;The;ending raw materials and finished goods inventories at December 31, 2012;follow the same percentage relationships to production and sales that occur in;2013. Three pounds of raw materials are required to make each unit of finished;goods. Raw materials purchased are expected to cost $4 per pound.;Complete the production budget by quarters for;the 6-month period ended June 30, 2013.;BATISTA;COMPANY;Production;Budget;For;the Six Months Ending June 30, 2013;Quarter Six;1 2 Months;Add;Total required units;Less;Required production units


Paper#44632 | Written in 18-Jul-2015

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