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    Production Budget

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    Exercise 9-2 Production Budget [LO3]
    Crystal Telecom has budgeted the sales of its innovative mobile phone over the next four months as follows:

    Sales in Units
    July 30,000
    August 45,000
    September 60,000
    October 50,000
    ________________________________________
    The company is now in the process of preparing a production budget for the third quarter. Past experience has shown that end-of-month inventories of finished goods must equal 10% of the next month's sales. The inventory at the end of June was 3,000 units.

    Required:
    Show the number of units to be produced each month and for the quarter in total.

    Required Production
    July

    August

    September

    Quarter

    ________________________________________

    Hint 1

    ________________________________________

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    https://brainmass.com/business/budgets/production-budget-260846

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    The company is now in the process of preparing a production budget for the third quarter. Past experience has shown that end-of-month inventories of finished goods must ...

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    Response discusses the steps to compute the production Budget

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