a) Prepare a production budget for May & June for OldX and NewX b) Prepare a materials (Component A) purchase budget for May & June for NewX Wilmer Company produces two products: OldX and NewX. Budgeted sales for four months are as follows: May June July August OldX 10,000 20,000 15,000 30,000 NewX 40,000 70,000 80,000 90,000 Wilmer's ending inventory policy is that OldX should have 10% of next month's sales in ending inventory and NewX should have 20% of next month's sales in ending inventory. On May 1, there were 1,000 units of OldX and 9,000 units of NewX NewX requires 4 units of component A. (OldX does not use component A.) There were 2,100 units of component A in inventory on May 1. Wilmer wants to have 30 percent of the following month's production needs in inventory for Component Al
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
ANSWER EVERYTHING AND PLEASE DO THIS TYPEWRITTEN FOR UPVOTE
![a) Prepare a production
budget for May & June for OldX and
NewX
b) Prepare a materials
(Component
May & June for NewX
Wilmer Company produces two products: OldX and NewX. Budgeted sales for four months are as
follows:
May
June
A) purchase budget for
July
August
OldX
10,000
20,000
15,000
30,000
NewX
40,000
70,000
80,000
90,000
Wilmer's ending inventory policy is that OldX should have 10% of next month's sales in ending inventory
and NewX should have 20% of next month's sales in ending inventory. On May 1, there were 1,000 units
of OldX and 9,000 units of NewX
NewX requires 4 units of component A. (OldX does not use component A.) There were 2,100 units of
component A in inventory on May 1. Wilmer wants to have 30 percent of the following month's production
needs in inventory for Component A.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fb3afb5a8-b507-41ec-90bd-20b30f93dc80%2F4b34e051-e188-404e-a6da-1f148e76bcf0%2Fnyi5m97_processed.png&w=3840&q=75)
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