7. A small business places reorders every two weeks Once orders are placed, four weeks are typicall; required for delivery. The weekly sales rate of an item is 30. Calculate the maximum.
7. A small business places reorders every two weeks Once orders are placed, four weeks are typicall; required for delivery. The weekly sales rate of an item is 30. Calculate the maximum.
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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
Transcribed Image Text:Next, plan monthly EOM stock for each month.
Ending inventory for the season is planned at $43,000.
C.
6. Prepare a six-month merchandise plan based on
the information presented below. Planned sales are
expected to be the same as last year.
d. Now, plan purchases at retail. Then, convert thia
figure to cost. The initial markuP percentage is planned
Month
Last Year
Last Year
at 46.4 percent.
Monthly Sales
BOM Stock
7. A small business places reorders every two weeks
Once orders are placed, four weeks are typically
required for delivery. The weekly sales rate of an item
is 30. Calculate the maximum.
February
$12,000
$25,000
March
$14,000
$30,000
April
$18,000
$38,000
May
$19,000
$40,000
June
$18,000
$39,000
8. Planned purchases at cost for the month of February
are $21,000. Two purchase orders are outstanding. The
first is for $550, and the second is for $2,150. What is
the open-to-buy?
July
$19,000
$41,000
Calculate last year's monthly stock-to-sales ratios
a.
and plan monthly BOM inventory levels.
9. Planned purchases for the month of March are $27,500.
Three purchase orders are outstanding. The first is for
$1,100, the second is for $20,000, and the third is for
$6,600. What is the open-to-buy?
b. Now, plan monthly reductions for the period.
Reductions are planned at 8 percent and will be
distributed as follows:
February
10%
March
5%
April
5%
May
15%
June
30%
July
35%
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