Reference no: EM132507851
Question 1: A company sell pretzels for $1.50/bag. Their February ending inventory was $1600. marketing prepares the following forecast:
January 15,000 bags
Febuary 12,000 bags
March 16,000 bags
Total 43,000 bags
Projected sales for April 13,000 bags. Try to maintain 10% of the next month's forecasted sales in inventory. What is the projected for march?
a) 14,800
b) 16,000
c) 15,700
d)16,500
e) can't be determined from the data provided.
Question 2: what is the sales budget for January?
Question 3: initial cash cost of investment $75,000
Estimated annual cash savings $18,000
Predicted residual value at the end of life $3,000
Estimated useful life 2 years
Cost of capital 12%
If Present Value factor of an annuity of $1 at 12% and 7 years is 4.564 and the present value factor of a payment of $1 at 12% and 7 years is 0.452. what is the total present value of the estimated cash inflow?
A) 4,167 years
B) $82,152
C) $1,356
D) $83,508
E) $8,508