Answer:
Total Total units to be produced:
VCH = 50,000
MTV = 43,850
Explanation:
The data in the question are merged and are first separated before answering as follows:
<u>Details VCH MTV </u>
Estimated inventory (units), April 1. 2,900 4,000
Desired inventory (units), April 30. 6,900 5,250
Expected sales volume (units):
Eastern zone 12,500 12,960
Midwest zone 19,000 19,800
Western zone 14,500 9,840
Now the solution as follows:
VCH expected units to be sold = Eastern zone units + Midwest zone units + Western zone units = 12,500 + 19,000 + 14,500 = 46,000
MTV expected units to be sold = Eastern zone units + Midwest zone units + Western zone units = 12,960 + 19,800 + 9,840 = 47,850
<u>Diamond Company Production Budget For the Month Ending April 30 </u>
<u>Details VCH MTV </u>
Expected units to be sold 46,000 42,600
Desired inventory (units), April 30. <u> 6,900 </u> <u> 5,250 </u>
Total 52,900 47,850
Estimated inventory (units), April 1. <u> (2,900) </u> <u> (4,000) </u>
Total Total units to be produced <u> 50,000 </u> <u> 43,850 </u>