How many units are budgeted for sale in october

By the fourth quarter, sales are expected to be strong enough to pay back the financing from earlier in the year. The budget shown in Figure illustrates the payment of interest and contains information helpful to management when determining which items should be produced if production capacity is limited.

Flexible Budgets and Sustainability The ability to provide flexible budgets can be critical in new or changing businesses where the accuracy of estimating sales or usage my not be strong. For example, organizations are often reporting their sustainability efforts and may have some products that require more electricity than other products.

The reporting of the energy per unit of output has sometimes been in error and can mislead management into making changes that may or may not help the company. In theory, a flexible budget is not difficult to develop since the variable costs change with production and the fixed costs remain the same.

For example, this article shows some large U. Figure Which budget evaluates the results of operations at the actual level of activity? Figure What is the main difference between static and flexible budgets?

Figure A company has prepared the operating budget and the cash budget. It is now preparing the budgeted balance sheet. Identify the document that contains each of these balances. Figure What information is included in the capital asset budget? This budget is the plan for the purchase and disposal of plant assets and lists the estimated dollar amounts for each.

Figure Cold X, Inc. What would be the budgeted amounts for 20, and 25, units? Figure Using the provided budgeted information for production of 10, and 15, units, prepare a flexible budget for 17, units.

What would be the budgeted amounts for 33, and 35, units? Figure Using the following budgeted information for production of 5, and 12, units, prepare a flexible budget for 9, units. Figure Prepare a flexible budgeted income for , units using the following information from a static budget for , units:.

Figure Before the year began, the following static budget was developed for the estimated sales of , Sales are sluggish and management needs to revise its budget. Use this information to prepare a flexible budget for 80, and 90, units of sales. Its expenses are:. Prepare a flexible budgeted income statement for 75,, 80,, and 85,unit sales. New machinery will be added in April. This machine will reduce the labor required per unit and increase the labor rate for those employees qualified to operate the machinery.

In January, the beginning inventory is 3, units of finished goods and 4, pounds of material. Prepare a production budget, direct materials budget, and direct labor budget for the first quarter of the year. Figure Identify the document that contains the information listed in these lines from the budgeted balance sheet shown. Figure Prepare a flexible budgeted income statement for 47, units using the following information from a static budget for 45, units:.

Figure Before the year began, the following static budget was developed for the estimated sales of 50, Sales are higher than expected and management needs to revise its budget.

Prepare a flexible budget for , and , units of sales. Its expenses are as follows:. Prepare a flexible budgeted income statement for 35,, 37,, and 39,unit sales. New machinery will be added in October. Direct material requires 2. In August, the beginning inventory is 3, units of finished goods and 13, pounds of materials.

Figure The management of Hess, Inc. It was not pleased with the small amount of net income the budget showed at all sales levels and is contemplating using a less expensive material. What would be the effects on financial statements and a flexible budget if management takes this approach? Are there other factors that need to be considered? Skip to content Budgeting. Flexible Budgets A flexible budget is one based on different volumes of sales. Flexible Budget for Big Bad Bikes. Static Budget for Big Bad Bikes.

This is the total number of units that we had available to sell during September. Of the units, we sold 50, of them during the month of September this amount is given in problem. This means we are left with units as the ending inventory on the last day of September available minus units sold.

We can see this is true. We had an ending inventory of in September and October's sales are units this amount is given in problem. Now we move to October. We have units on hand the ending inventory for September. We produce 52, units during October this amount is given in problem.

These are the total number of units we have available to sell for October. According to the problem, we sold 54, of these units. This means we have units left at the end of October If this helps, please vote my answer up.