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How is production budget determined?
A production budget determines the cost of producing the calculated volume of saleble products. The production plan is computed in terms of the number of units to be produced within each era, as a month. As far as probable, the production must be planned at a relatively even rate, even if the sales budget shows a high seasonal sales forecast.
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Controls on the production systems: 1. No inventory is moved unless authorized to be so by a move card. 2. Each bin contains a fixed exact quantity of inventory no mor
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