Crest Products Expects the Following Sales of Its Single Product

question 114

Essay

Crest Products expects the following sales of its single product:
Crest desires an ending finished goods inventory to be equal to 30% of the next month's sales needs.August 1 inventory is projected to be 7,800 units.Each finished unit requires 2 units of component X and 11 units of component Z.August 1 materials inventory includes 5,000 units of component X and 184,000 units of component Z.Crest desires to maintain a component X inventory equal to 10% of next month's production needs and a component Z inventory equal to 70% of next month's production needs.
a.Prepare a production budget for Crest for as many months as is possible.
b.Prepare a direct materials purchases budget for both Component X and Component Z for the months of August through October.

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Definitions:

Confidence

the feeling or belief that one can rely on someone or something; firm trust. It's also a feeling of self-assurance arising from one's appreciation of one's own abilities or qualities.

Leading Questions

Questions framed in a way that suggests a particular answer or influences the response, often used in legal settings, interviews, and surveys to shape the respondent's answer.

Cochran and Colleagues

A group of researchers known for their contributions to a specific field or study, though the context of their work would determine their specific domain of expertise.

Eyewitnesses

Individuals who have directly observed an event and can provide a first-hand account or testimony of that event.