What leads to excess demand?

Sonic Inc. manufactures two models of speakers, Rumble and Thunder. Based on the following production and sales data for June, p

lesya692 [45]

Answer and Explanation:

a. The preparation of the sales budget is prepared below:-

Sonic Inc.

Sales budget

Particulars Unit Sales Unit Selling price Total Sales 

Volume

Model Rumble:

East Region 12,000 $60 $720,000

West Region 14,000 $60 $840,000

Total $1,560,000

Model Thunder:

East region 3,500 $90 $315,000

West region 4,000 $90 $360,000

Total $675,000

Total revenue from sales $2,235,000

To reach the total revenue from sales we simply added the total of model rumble with a total of model thunder.

b. The Preparation of the production budget is shown below:-

Sonic Inc.

Production budget

Particulars Units Model Units Model

Rumble Thunder

Expected units to be

sold 26,000 7,500

(12,000 + 14,000) (3,500 + 4,000)

Add: Desired ending

inventory 500 250

Total units required 26,500 7,750

Less: Beginning inventory 750 300

Total units to be produced 25,750 7,450

So, to reach at total units to be produced we simply deduct the beginning inventory from total units required.

7 0

2 years ago

Templeton Corporation recently used $75,000 of direct materials and $9,000 of indirect materials in production activities. The j

maksim [4K]

Answer:

A Debit to manufacturing overhead for $9,000

Explanation:

Based on the information given in a situation where the Corporation recently used the amount of $9,000 of indirect materials during the production activities which means that The journal entries that will reflect these transactions would include a DEBIT to MANUFACTURING OVERHEAD of the amount of $9,000 which is the amount of indirect materials that was used during the production activities

A debit to manufacturing overhead for $9,000

3 0

2 years ago

Increased capital investment is generally used for what business expenses?

Aleksandr [31]

A. Capital expenditures

3 0

1 year ago

What is the first step in developing research-based business reports?

tatyana61 [14]

Answer: The first step in developing research-based business reports is identifying what decision makers want to accomplish.

Explanation: The establishment of the objective to be achieved is fundamental because it is what will guide the development of the commercial report.

6 0

3 years ago

A movie theater owner embedded brief messages during trailers before showing the feature film. the messages, which flashed on th

Soloha48 [4]

Subliminal messages may have limited effects on behavior. Subliminal messages are visual stimuli that is flashed for just a few milliseconds which can be absorbed at a subconscious level before the conscious mind has time to interpret the incoming visual stimuli.

6 0

3 years ago