Identify three potential negative outcomes

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Question: 1. Rad Co. provides the following sales forecast for the next four months:

                                 April         May          June       July

Sales (units) . . . . . . . . 500         580           530        600

The company wants to end each month with ending finished goods inventory equal to 20% of next month's sales. Finished goods inventory on April 1 is 174 units. Assume July's budgeted production is 540 units. Prepare a production budget for the months of April, May, and June.

2. Participatory budgeting can sometimes lead to negative consequences. Identify three potential negative outcomes that can arise from participatory budgeting.

Reference no: EM131539475

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