Formula for expected production and costs

Assignment Help Project Management

Reference no: EM1343401

Country Heather manufactures flowerpots. It expects to sell 40,000 flowerpots next year. The company has enough beginning inventory of direct materials to produce 48,000 units. Beginning inventory of finished units total 4000 with a target ending inventory of 5,000. The company keeps no work in process inventory. The flowerpots sell for $6.00 each. Direct materials for each flowerpot total $2.00, while direct labor is $1.00. Factory overhead is $0.40 flowerpot.

Based on this information, how many flowerpots are expected to be produced next year

a) 48000
b) 44000
c) 41000
d) 39000
e) none of the above

Total sales for next year are expected to be:

a) 216000
b) 240000
c) 312000
d) 318000
e) none of the above

What will be the total cost incurred next year?

Direct Materials Direct Labor Mfg Overhead
a) 0 $40,000 $16,000
b) 0 $41,000 $16,000
c) $80,000 $40,000 $16,000
d) $82,000 $41,000 $16,400
e) $82,000 $41,000 $16,000

Reference no: EM1343401

Questions Cloud

Explain subjects actions in terms of ethics : Explain your subject's actions in terms of ethics and social responsibility and evaluate your subject's actions using Consequential theories

Nature of the problems the organization faces : What is the nature of the problems the organization faces and how severe are these problems?

Show challenging projects : Challenging projects - If you were in charge of hiring a Project Manager for one of the worlds most challenging projects what well known person

System for project management purposes : Show and describe the need for an integrated information system for project management purposes

Formula for expected production and costs : Explain what will be the total cost incurred next year and direct Materials Direct Labor Mfg Overhead

Best production plan for company selling antifreeze solution : pros or cons for a specific strategy in determining the best production plan for the company. Submit your answer by Tuesday, December 1, 2009 to this Discussion Area.

Question about aggregate production planning : Question about Aggregate production planning - Determine the total cost using a one-month planning horizon

Methods used for evaluation : How many of you are involved in the reporting aspect of a project/program or operation and do you agree with the methods used for evaluation?

Over budget : We can't be sure how the project is going and we should check to see if all bills have been paid

User Account

All Pages