Transcribed Image Text: 1. Revenues, production, and purchase budgets. The Yosda Co. in Japan has a division that manufactures two-wheel motorcycles.

Excerpt
62,000 wheels, and its beginning inventory is 55,000 wheels. The budgeted purchase price is16,000 yen (¥) per wheel. Required. 1.Compute the budgeted revenues in yen. 2.Compute the number of motorcycles that Yosda should produce. 3.Compute the budgeted purchases of wheels in units and in yen.

Transcribed Image Text: 1. Revenues, production, and purchase budgets.
The Yosda Co. in Japan has a division that manufactures two-wheel motorcycles. Its budgeted
sales for Model G in 2021 is 915,000 units. Yosda’s target ending inventory is 90,000 units,
and its beginning inventory is 95,000 units. The company’s budgeted selling price to its
distributors and dealers is 405,000 yen (¥) per motorcycle. Yosda buys all its wheels from an
outside supplier. No defective wheels are accepted. (Yosda’s needs for extra wheels for
replacement parts are ordered by a separate division of the company.) The company’s target
ending inventory is 62,000 wheels, and its beginning inventory is 55,000 wheels. The budgeted
purchase price is16,000 yen (¥) per
wheel.
Required.
1.Compute the budgeted revenues in yen.
2.Compute the number of motorcycles that Yosda should produce.
3.Compute the budgeted purchases of wheels in units and in yen.

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