Explain production budget, Operation Management

Assignment Help:

Explain production budget.

A production budget may be made by production manager in consultation along with his assistants after obtaining the sales Budget. A production budget demonstrates the quantity of products to be manufactured.

This is based upon:

(i) Sales budget,

(ii) Factory capacity (storage and Production),

(iii) Budgeted stock needs,

(iv) Economic lot size

(v) Accessibility of raw material and labour.

A production budget gets the cost of producing the estimation volume of saleable products. A production plan is computed in terms of the number of units to be produced in each era, as a month. As far as possible, the production must be planned at a relatively even rate, even if the sales budget indicates a high seasonal sales forecast.


Related Discussions:- Explain production budget

Explain what ethical considerations your response, Please explain in detail...

Please explain in detail what you would do for the following scenario: A good friend of yours from college who had a wild reputation is applying at your company. The HR manager cat

Explain rapidly changing business landscape, In the light of a rapidly chan...

In the light of a rapidly changing business landscape, it is imperative for firms to monitor the six major environmental forces: demographic, economic, social-cultural, natural, te

Explain abilities and personalities, 1. Using the terms from this chapter, ...

1. Using the terms from this chapter, how would you characterize the teams at ICU Medical Inc.? What are some advantages and disadvantages of giving teams a lot of autonomy to make

Explain legacies of the pharaohs hatshepsut, • Imagine you are an Egyptolog...

• Imagine you are an Egyptologist encountering an astounding archeological find, such as the tomb of Tutankhamen found by Howard Carter in 1922. Would you proceed with the excavati

Explain organizational strategy is analyze organizations, Organizational St...

Organizational Strategy is Critically evaluate information from core business functions to enhance organizational knowledge, how would you assess your mastery of this competency?

Explain the type of material handling systems, Describe the type of materia...

Describe the type of material handling systems used in warehouses?

Explain testing your business perspective of a typical ie, Page maximum req...

Page maximum required for this question. This is testing your business perspective of a typical IE problem. Given that you have a starting standard time for a job of ninety (90) mi

Explain traditional inventory models, The information technology department...

The information technology department of State University buys paper for its copier machine frequently. The office manager would like to determine the best quantity to order each

Explain security professionals as technology advances, Identify potential e...

Identify potential ethical challenges that may be faced by security professionals as technology advances, applications become more mobile, and computer criminals become more innova

Explain managing consumer trust, Why does the Baltzan text draw a dist...

Why does the Baltzan text draw a distinction between e-business and e-commerce? • The Baltzan text lists four challenges for Web-based e-business (pp. 103 - 104). See

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd