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vagabundo [1.1K]
4 years ago
14

Budgeted production is calculated by: Multiple Choice

Business
1 answer:
SOVA2 [1]4 years ago
5 0

Answer:

Budgeted Production is obtained by adding Sales to the desired finished goods inventory and subtracting beginning finished goods inventory.We move opposite to get to the budgeted production .

For example if we have $ 300,000 sales and desired ending inventory is $ 50,000 and finished good   beginning inventory is $ 25,000 so the budgeted production would be

Budgeted Production = Sales + Desired Ending Inventory - Beginning Inventory

Budgeted Production = $ 300,000 + $ 50,000- $ 25,000= $ 325,000

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