Brinso Supply Corporation manufactures and sells cotton gauze. Expected sales of gauze (in boxes) for upcoming months are as follows:
Management likes to maintain a finished goods inventory equal to 10% 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). Include a column for each month and a total column for the entire quarter.

Question

Brinso Supply Corporation manufactures and sells cotton gauze. Expected sales of gauze (in boxes) for upcoming months are as follows:
  Management likes to maintain a finished goods inventory equal to 10% 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). Include a column for each month and a total column for the entire quarter.

Quizplus · Accepted Answer

The Answer of Brinso Supply Corporation manufactures and sells cotton gauze. Expected sales of gauze (in boxes) for upcoming months are as follows:
  Management likes to maintain a finished goods inventory equal to 10% 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). Include a column for each month and a total column for the entire quarter.

Brinso Supply Corporation Manufactures and Sells Cotton Gauze