Math Help

Sales and Production Budgets

Harmony Audio Company manufactures two models of speakers, DL and XL. Based on the following production and sales data for September 2016, prepare (a) a sales budget and (b) a production budget. 

DLXLEstimated inventory (units), September 1262 64Desired inventory (units), September 30301 56Expected sales volume (units):   East Region3,750 3,300West Region4,850 4,200Unit sales price$145 $195

a.  Prepare a sales budget.

Harmony Audio CompanySales BudgetFor the Month Ending September 30, 2016Product and AreaUnit Sales VolumeUnit Selling PriceTotal SalesModel DL:   East Region$$West RegionTotal $Model XL:   East Region$$West RegionTotal $Total revenue from sales  $

b.   Prepare a production budget.

Harmony Audio CompanyProduction BudgetFor the Month Ending September 30, 2016 Units Model DLUnits Model XLExpected units to be soldPlus desired inventory, September 30, 2016TotalLess estimated inventory, September 1, 2016Total units to be produced