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School

Utah Valley University *

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220G

Subject

Management

Date

Jun 13, 2024

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docx

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1

Uploaded by MegaDiscoveryGrasshopper19

Report
Subject: Urgent Approval Request for VitaBlend Parts from ACE Manufacturing Dear Ms. Ava Gantt: I am the production manager for Peak Wholesalers and we have recently received a great offer from ACE Manufacturing (ACE) in Frankfurt that will be a crucial part to finish our current production of our VitaBlend Food Processor and can supply the parts required to finish the 300,000 units currently in progress and fulfill orders for the rest of the year. However, ACE can only reserve these parts until June 17, 2024. To help you evaluate the importance and reality of this request, down below is the summarized historical sales data and projected needs for 2024 based on trends from the past three years: Retailer 2021 Units 2022 Units 2023 Units Projected 2024 Units Shenzen Kitchen Supply 10,000 Units 12,500 Units 15,000 Units 17,500 Units Asian Fusion Cuisine 8,000 Units 11,000 Units 14,000 Units 17,000 Units Mondari’s 15,500 Units 16,600 Units 17,700 Units 18,800 Units Global Nutrition Company 850 Units 1,700 Units 2,400 Units 3,200 Units Total 56,500 Units Based on these projections, we estimate needing $56,500 parts for 2024. Here are the financial details for the proposed order: Cost per part : $1.25 Total parts cost : $71,875 International shipping cost : $2,575 Customs/inspection fees : $1,550 Total cost : $76,000 The VitaBlend Food Processor is our best-selling product, and securing these parts is important to meet retailer demand. Due to the Dragon Boat Festival in China, our retailers are currently unavailable, so I have based our projections on historical data to ensure accuracy. Please review and approve this purchase order promptly so we can take advantage of ACE Manufacturing's offer and avoid any delays in production. Thank you for your help in getting the VitaBlend Food Processors ready for sale. Best regards, Kaisley Larsen Product Manager
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