Sales and Production Budgets Sonic Inc. manufactures two models of speakers, Rumble and Thunder. Based on the following production and sales data for June, prepare (a) a sales budget and (b) a production budget. Rumble Thunder Estimated inventory (units), June 1 235 69 Desired inventory (units), June 30 270 60 Expected sales volume (units): East Region 2,850 2,500 West Region 4,850 5,500 Unit sales price $135 $185 a. Prepare a sales budget. Sonic Inc. Sales Budget For the Month Ending June 30 Product and Area Unit Sales Volume Unit Selling Price Total Sales Model Rumble: East Region fill in the blank a2cab3f7d050faf_1 $fill in the blank a2cab3f7d050faf_2 $fill in the blank a2cab3f7d050faf_3 West Region fill in the blank a2cab3f7d050faf_4 fill in the blank a2cab3f7d050faf_5 fill in the blank a2cab3f7d050faf_6 Total fill in the blank a2cab3f7d050faf_7 $fill in the blank a2cab3f7d050faf_8 Model Thunder: East Region fill in the blank a2cab3f7d050faf_9 $fill in the blank a2cab3f7d050faf_10 $fill in the blank a2cab3f7d050faf_11 West Region fill in the blank a2cab3f7d050faf_12 fill in the blank a2cab3f7d050faf_13 fill in the blank a2cab3f7d050faf_14 Total fill in the blank a2cab3f7d050faf_15 $fill in the blank a2cab3f7d050faf_16 Total revenue from sales $fill in the blank a2cab3f7d050faf_17 b. Prepare a production budget. Sonic Inc. Production Budget For the Month Ending June 30 Units Model Rumble Units Model Thunder Expected units to be sold fill in the blank a23166f6cfa6fac_1 fill in the blank a23166f6cfa6fac_2 fill in the blank a23166f6cfa6fac_4 fill in the blank a23166f6cfa6fac_5 Total units required fill in the blank a23166f6cfa6fac_6 fill in the blank a23166f6cfa6fac_7 fill in the blank a23166f6cfa6fac_9 fill in the blank a23166f6cfa6fac_10 Total units to be produced fill in the blank a23166f6cfa6fac_11 fill in the blank a23166f6cfa6fac_12
Sales and Production Budgets Sonic Inc. manufactures two models of speakers, Rumble and Thunder. Based on the following production and sales data for June, prepare (a) a sales budget and (b) a production budget. Rumble Thunder Estimated inventory (units), June 1 235 69 Desired inventory (units), June 30 270 60 Expected sales volume (units): East Region 2,850 2,500 West Region 4,850 5,500 Unit sales price $135 $185 a. Prepare a sales budget. Sonic Inc. Sales Budget For the Month Ending June 30 Product and Area Unit Sales Volume Unit Selling Price Total Sales Model Rumble: East Region fill in the blank a2cab3f7d050faf_1 $fill in the blank a2cab3f7d050faf_2 $fill in the blank a2cab3f7d050faf_3 West Region fill in the blank a2cab3f7d050faf_4 fill in the blank a2cab3f7d050faf_5 fill in the blank a2cab3f7d050faf_6 Total fill in the blank a2cab3f7d050faf_7 $fill in the blank a2cab3f7d050faf_8 Model Thunder: East Region fill in the blank a2cab3f7d050faf_9 $fill in the blank a2cab3f7d050faf_10 $fill in the blank a2cab3f7d050faf_11 West Region fill in the blank a2cab3f7d050faf_12 fill in the blank a2cab3f7d050faf_13 fill in the blank a2cab3f7d050faf_14 Total fill in the blank a2cab3f7d050faf_15 $fill in the blank a2cab3f7d050faf_16 Total revenue from sales $fill in the blank a2cab3f7d050faf_17 b. Prepare a production budget. Sonic Inc. Production Budget For the Month Ending June 30 Units Model Rumble Units Model Thunder Expected units to be sold fill in the blank a23166f6cfa6fac_1 fill in the blank a23166f6cfa6fac_2 fill in the blank a23166f6cfa6fac_4 fill in the blank a23166f6cfa6fac_5 Total units required fill in the blank a23166f6cfa6fac_6 fill in the blank a23166f6cfa6fac_7 fill in the blank a23166f6cfa6fac_9 fill in the blank a23166f6cfa6fac_10 Total units to be produced fill in the blank a23166f6cfa6fac_11 fill in the blank a23166f6cfa6fac_12
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter8: Budgeting
Section: Chapter Questions
Problem 6E: Sales and production budgets Sonic Inc. manufactures two models of speakers, Rumble and Thunder....
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Concept explainers
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.
Question
Sales and Production Budgets
Sonic Inc. manufactures two models of speakers, Rumble and Thunder. Based on the following production and sales data for June, prepare (a) a sales budget and (b) a production budget.
| Rumble | Thunder | ||
| Estimated inventory (units), June 1 | 235 | 69 | |
| Desired inventory (units), June 30 | 270 | 60 | |
| Expected sales volume (units): | |||
| East Region | 2,850 | 2,500 | |
| West Region | 4,850 | 5,500 | |
| Unit sales price | $135 | $185 |
a. Prepare a sales budget.
| Sonic Inc. | |||
| Sales Budget | |||
| For the Month Ending June 30 | |||
Product and Area |
Unit Sales Volume |
Unit Selling Price |
Total Sales |
| Model Rumble: | |||
| East Region | fill in the blank a2cab3f7d050faf_1 | $fill in the blank a2cab3f7d050faf_2 | $fill in the blank a2cab3f7d050faf_3 |
| West Region | fill in the blank a2cab3f7d050faf_4 | fill in the blank a2cab3f7d050faf_5 | fill in the blank a2cab3f7d050faf_6 |
| Total | fill in the blank a2cab3f7d050faf_7 | $fill in the blank a2cab3f7d050faf_8 | |
| Model Thunder: | |||
| East Region | fill in the blank a2cab3f7d050faf_9 | $fill in the blank a2cab3f7d050faf_10 | $fill in the blank a2cab3f7d050faf_11 |
| West Region | fill in the blank a2cab3f7d050faf_12 | fill in the blank a2cab3f7d050faf_13 | fill in the blank a2cab3f7d050faf_14 |
| Total | fill in the blank a2cab3f7d050faf_15 | $fill in the blank a2cab3f7d050faf_16 | |
| Total revenue from sales | $fill in the blank a2cab3f7d050faf_17 |
b. Prepare a production budget.
| Sonic Inc. | ||
| Production Budget | ||
| For the Month Ending June 30 | ||
| Units Model Rumble | Units Model Thunder | |
| Expected units to be sold | fill in the blank a23166f6cfa6fac_1 | fill in the blank a23166f6cfa6fac_2 |
| fill in the blank a23166f6cfa6fac_4 | fill in the blank a23166f6cfa6fac_5 | |
| Total units required | fill in the blank a23166f6cfa6fac_6 | fill in the blank a23166f6cfa6fac_7 |
| fill in the blank a23166f6cfa6fac_9 | fill in the blank a23166f6cfa6fac_10 | |
| Total units to be produced | fill in the blank a23166f6cfa6fac_11 | fill in the blank a23166f6cfa6fac_12 |
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