User Account

All Pages

How many units should the firm produce

Assignment Help Financial Accounting
Reference no: EM132916440

Question - The PurplePumpkin manufactures and distributes holiday wreaths. Each wreath requires 4 feet of material to produce. The company is now planning the raw materials it needs to produce its goods for the third? quarter, the company in which their peak sales occur. To keep production and sales moving? smoothly, the company now has the following inventory requirements.

1. The finished goods inventory on hand at the end of each month must be equal to 2,825 units of inventory plus 20?% of next? month's sales. That is what they have on hand at the end of June.

2. The raw materials inventory on hand at the end of each month must be equal to 48?% of the following? month's production needs for raw materials. That is what they have on hand at the end of June.

3. The company maintains no? work-in-process inventories.

4. The sales budget for the final six months of the year is as? follows:

Budgeted Sales In Units

July: 35,180 units

August: 39,570 units

September: 50,619 units

October: 30,083 units

November: 20,339 units

December: 10,119 units

Required -

a. How many units should the firm produce during the month of JULY??

b. How many units should the firm produce during the month of AUGUST??

c. How many feet of material should the firm have in raw materials ending inventory at the end of JUNE??

d. How many feet of material should the firm have in raw materials ending inventory at the end of JULY??

e. How much direct materials? (in feet) will need to be purchased in JULY??

Reference no: EM132916440

Questions Cloud

Children entering into developmental preschool program : Children entering into a developmental preschool program might have delays in the area of oral communication.
What is an income statement used for : On your example of an income statement, is the organization making a profit or loss? How much is that profit or loss? Show the calculations.
What is the project NPV using a discount rate : What is the project's NPV using a discount rate of 11 percent? Should the project be accepted? Why or why not
Compute a current ratio for company for the recent period : Compute a current ratio for your company for the recent period. How does this current ratio compare with the prior year's current ratio?
How many units should the firm produce : he sales budget for the final six months of the year is as? follows: September: 50,619 units. How many units should the firm produce
Artwork without representational imagery : Explain how you feel when viewing an artwork without representational imagery, storytelling, or explicit personal feeling.
Have realized that being a vegetarian may reduce ecological : Have you realized that being a vegetarian may reduce your ecological footprint. Weight the pros and cons of eating meat and dairy products.
What will be the net taxable income : Besides, there are the following non-statutory deductions: RPP - $$250.00 and union dues are $10.00. What will be the net taxable income
Writing the literature review : What were some of the lessons you learned writing the literature review?

Reviews

Write a Review

Financial Accounting Questions & Answers

  Should investors not buy upc stock after the announcement

Should investors not buy UPC stock after the announcement because the litigation will cause an abnormally low rate of return? Why?

  Identify internal control strengths in peis system

Identify the internal control strengths in PEI's system and identify the internal control weaknesses in PEI's system, and suggest ways to correct them.

  Illustrate how do you account for this item

if there is no stated par value, such as "no par" or "stated value of zero par," then do you still need to have the account of "additional paid-in capital in excess of par"? If not, Illustrate how do you account for this item, or do you?

  Should the bakery make the purchase

Each costing $2.15 to make and priced at $4.25. Assume that the discount rate is 14 percent and the tax rate is 30 percent. Should the bakery make the purchase?

  Compute the depreciation expense on the printer for the year

Clooney Printers, Compute the depreciation expense on the printer for the year ended December? 31, 2024, using the straight-line method.

  Calculate the net present value of the cash flow projections

Calculate the Net Present Value of the following cash flow projections based on a required rate of 10.5%. Is this a good project for the business to accept?

  Explain about vargas family case study

Explain about vargas family case study,identified and develop scaffolding questions to ask the client in your next session, one in their landscape of action

  Accumulated depreciation-equipment and depreciation expense

At the end of its first year of operations, the trial balance of Alonzo Company shows Equipment $34,760 and zero balances in Accumulated Depreciation-Equipment and Depreciation Expense. Depreciation for the year is estimated to be $2,750.

  Calculate cost of goods manufactured for this company

Inventories - Cost of goods manufactured and Calculate the cost of goods manufactured for this company

  How much is the carrying amount of the bonds

Interest payments are also made annually at each year-end. How much is the carrying amount of the bonds on December 31, 2020

  What entry to record accrued interest on note september

What The entry to record accrued interest on the note on September 30 (the end of the first month after the note was made) would include

  Merchandise by paying cash and using credit

Company pays for merchandise by paying cash and using credit. Credit purchases equal 80% of the purchases. Of those purchased on reedit the purchases are paid for as follows: 60% in the current month, 35% in the month following, and 5% in the second ..

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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