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College For Financial Planning Operations And Supply Chain Management Assignment Help - Allison Manufacturing


Question - Operating Budget, Comprehensive Analysis solution in excel
Allison Manufacturing produces a subassembly used in the production of jet aircraft engines. The
assembly is sold to engine manufacturers and aircraft maintenance facilities. Projected sales in units
for the coming ve months follow:
January 40,000 February 50,000 March 60,000 April 60,000 May 62,000
The following data pertain to production policies and manufacturing speci cations followed by Allison
Manufacturing:
a. Finished goods inventory on January 1 is 32,000 units, each costing $166.06. The desired ending
inventory for each month is 80 percent of the next month s sales.
b. The data on materials used are as follows:
Direct Material Per-Unit Usage Unit Cost ($)
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