Grass Cutters Manufacturing produces lawn mowers. On March 31, Grass Cutters Manufacturing had 120 lawn mowers in inventory. The company has a policy that the ending inventory in any month must be 10% of the following month's expected sales. Grass Cutters Manufacturing expects to sell the following number of lawn mowers in each of next four months:

Required:
Prepare a production budget for the second quarter, with a column for each month and for the quarter.

Question

Grass Cutters Manufacturing produces lawn mowers. On March 31, Grass Cutters Manufacturing had 120 lawn mowers in inventory. The company has a policy that the ending inventory in any month must be 10% of the following month's expected sales. Grass Cutters Manufacturing expects to sell the following number of lawn mowers in each of next four months:
  
Required:
Prepare a production budget for the second quarter, with a column for each month and for the quarter.

Quizplus · Accepted Answer

The Answer of Grass Cutters Manufacturing produces lawn mowers. On March 31, Grass Cutters Manufacturing had 120 lawn mowers in inventory. The company has a policy that the ending inventory in any month must be 10% of the following month's expected sales. Grass Cutters Manufacturing expects to sell the following number of lawn mowers in each of next four months:
  
Required:
Prepare a production budget for the second quarter, with a column for each month and for the quarter.

Grass Cutters Manufacturing Produces Lawn Mowers