This problem is a continuation of Problem 3. Assume you ramp up production to 1,000 units per month in April, May, and June. Sales are expected to be 800 units in April and 1,100 units in both May and June. Repeat the calculations requested in Problem 3 for the second quarter of the year (April, May, and June).
(a) Calculate the dollar amount of sales revenue expected in each month (i.e., April, May, and June) and for the second quarter of the year.
(b) Prepare a cost of production schedule for April, May, and June.
(c) Prepare a cost of goods sold schedule for each of the three months and for the second quarter of the year. Using your cost of goods sold estimates and the sales revenues expected in Part A, calculate the gross earnings for April, May, and June, as well as for the second quarter of the year.
(d) Prepare an inventories schedule for April, May, and June.