Eilert Company has budgeted the following unit sales:
The finished goods inventory on hand on December 31, 2009 was 14,000 units. It is the company's policy to maintain a finished goods inventory at the end of each quarter equal to 20% of the next quarter's anticipated sales.
Instructions
Prepare a production budget for 2010.

Question

Eilert Company has budgeted the following unit sales:  
The finished goods inventory on hand on December 31, 2009 was 14,000 units. It is the company's policy to maintain a finished goods inventory at the end of each quarter equal to 20% of the next quarter's anticipated sales.
Instructions
Prepare a production budget for 2010.

Quizplus · Accepted Answer

The Answer of Eilert Company has budgeted the following unit sales:  
The finished goods inventory on hand on December 31, 2009 was 14,000 units. It is the company's policy to maintain a finished goods inventory at the end of each quarter equal to 20% of the next quarter's anticipated sales.
Instructions
Prepare a production budget for 2010.

Eilert Company Has Budgeted the Following Unit Sales