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    tsmith86 Posts: 22, Reputation: 1
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    Dec 4, 2005, 05:20 PM
    Production budget
    Can someone please help me create a production budget using the following information.
    The sales department of Red Hawk Manufacturing Co. has forecast sales in March to be 20,000 units. Additional information follows:
    Finished goods inventory, March 1 3000 units
    Finsihed goods inventory required, March 31 1000 units
    Materials used in production:
    Inventory March 1 Inventory March 31 Standard Cost
    A (one gallon per unit) 500 gal. 1000 gal. $2 per gal.
    B (one pound per unit) 1000 lbs 1000 lbs $1 per lb.

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