Question

A Golf company detemined that the budgeted cost of producing a product is $30 per unit. On June 1, there were 60,000 units on hand, the sales department budgeted sales of 225,000 units in June, and the company desires to have 90,000 units on hand on June 30. The budgeted cost of goods sold for june would be:_____.

Answer 1

Budgeted cost of goods sold = $7,650,000

Step-by-step explanation:

Computation table for budgeted cost of goods sold

Particular Amount

Total Sales 225,000

Add: Desired stock in hand 90,000

Less: Beginning stock 60,000

Budgeted production 255,000

Budgeted cost of goods sold = 255,000 x $30

Budgeted cost of goods sold = $7,650,000