A large St. Louis feed mill, Robert Orwig Processing, prepares its 6-month aggregate plan by forecasting demand for 50-pound bags of cattle feed as follows: January 1,000 bags: February, 1,400: March, 1.250;April, 1,450, May, 1,500, and June 1.500The feed mill plans to begin the new year with no inventory left over from the previous year and backorders are not permined. it projects that capacity (during regular hours) for producing bags of fead will remainconstant at 800 until the end of April, and then increase to 1,100 bags per month when a planned expansion is completed on May 1. Overtime capacity is set at 400 bags per month until the expansion, at whichtime it will increase to 500 bags per month.A friendly competitor in Sioux City, lowa, is also available as a backup source to meet demand-but can provide only 300 bags total during the 6-month period Develop a 6-month production plan for the feedmill using the transportation method. Cost data are as follows:Regular-time cost per bag (until Apr 30)Regular-time cost per bag (after May 1)Overtime cost per bag (during entire period)Cost of outside purchase per bagCarrying cost per bag per month$13.00$12.00$17.00$10.50$1.00Developing a 6-month production plan for the feed mill using the transportation method, the total cost is enter your response as a whole number)

Aggregate planning using transportation method: Aggregate planning is an analytical tool for making…

Answered: A large St Louis feadmill Robert Orwig…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Lindor Enterprises projects sales for the first three months of the year to be: $10,400 in January, $12,500 in February, and $13,100 in March. Cash receipts are expected to be: $8,580 in January, $11,820 in February, and $12,700 in March.They anticipate the following cash payments: Lindor Enterprises January February March Direct materials purchased $3,600 $4,200 $4,700 Direct labor costs $3,300 $4,000 $3,500 Depreciation on plant $570 $570 $570 Utilities for plant $650 $650 $650 Property taxes on plant $170 $170 $170 Depreciation on office $580 $580 $580 Utilities for office $350 $350 $350 Property taxes on office $180 $180 $180 Office salaries $3,000 $3,000 $3,000 All costs are paid in the month incurred except: direct materials, which are paid in the month following the purchase; utilities, which are paid in the month after incurred; and property taxes, which are prepaid for the year on January 2. The Accounts Payable and Utilities Payable accounts have a…
using the Optimal order quantity of 1812 how many weeks are there between each optimal order quantity? the cost of placing an order is $513 and the annual holding coat rate of 14%. the lead time is 2weeks the company only pays for goods when the shipment arrives to the distribution center. assume there are 48 weeks in a year.
Lindor Enterprises projects sales for the first three months of the year to be: $10,100 in January, $12,400 in February, and $12,900 in March. Cash receipts are expected to be: $8,450 in January, $11,770 in February, and $12,810 in March.They anticipate the following cash payments: Lindor Enterprises January February March Direct materials purchased $3,500 $4,000 $4,900 Direct labor costs $3,000 $4,100 $3,600 Depreciation on plant $510 $510 $510 Utilities for plant $650 $650 $650 Property taxes on plant $140 $140 $140 Depreciation on office $560 $560 $560 Utilities for office $370 $370 $370 Property taxes on office $170 $170 $170 Office salaries $2,900 $2,900 $2,900 All costs are paid in the month incurred except: direct materials, which are paid in the month following the purchase; utilities, which are paid in the month after incurred; and property taxes, which are prepaid for the year on January 2. The Accounts Payable and Utilities Payable accounts have a…
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Catulla Corporation predicts the following sales in units for the coming four months April May 240 200 June July 300 sales in units Each moners ending Finished Goods Inventory in units should be 40% of the next month's sales Mech 21 Fished Goods inventory a 00 unts A freshed unit requires five pounds of dract material 8 at a cost of $2.00 per pound. The March 31 Raw Materials inventory has 200 pounds of direct matal 8. Each moners ending Raw Materials twentary should be 30% of the following months production needs The budgeted purchases of pounds of direct material during May should be O 1422 pounds 4xpr 210 pan
Vishnu
Cousin Eddy provides you with his sales forecast for the next four months: April May 750 June July 790 Sales (Units) 670 The company wants to end each month with ending finished goods Inventory equal to 40% of next month's forecasted sales. Finished goods inventory on April 1 is 268 units. Assume July's budgeted production is 700 units. In addition, each finished unit requires four pounds of raw materials and the company wants to end each month with raw materials inventory equal to 30% of next month's production needs. Beginning raw materials inventory for April was 842 pounds. Assume direct materials cost $5 per pound. Required: For May, how many units must be produced? (Hint: This is your production budget) Submit your answer below 700 with all work submitted via email.
On January 1 the company had 330 widgets in finished good inventory. The company policy is to maintain an inventory of 15% of next montha sales. The company forecast the following sales: Jan. 2,200 Feb. 2,800 March 3,500 April 4,000 Determine the required production for January?
Month April May June July August Sales in Units 3,500 3,805 4,570 4,125 3,988 Croy's finished goods inventory policy is to have 50 percent of the next month's sales on hand at the end of each month. Direct materials costs $2.60 per pound, and each unit requires 2 pounds. Direct materials inventory policy is to have 50 percent of the next month's production needs on hand at the end of each month. Direct materials on hand at March 31 totaled 3,653 pounds. Required: 1. Determine budgeted production for April, May, and June. 2. Determine budgeted cost of materials purchased for April and May Complete this question by entering your answers in the tabs below. Required 11 Required 2 Determine budgeted production for April, May, and June. (Do not round your intermediate calculations and round your final answers to the nearest whole number.) May Budgeted Production (Units) April Requi June Required 2 >
Data Trevor Cycles manufactures chainless bicycles. On March 31, Trevor Cycles had 206 bikes in inventory. The company has a policy that the ending inventory in any month must be 20% of the following month's expected sales. Trevor Cycles expects to sell the following number of bikes in each of next four months: View the data. Prepare a production budget for the second quarter, with a column for each month and for the quarter. Trevor Cycles Production Budget For the Months of April through June April.. 1,030 bikes April May June Quarter May 1,170 bikes les 1030 1170 1390 1270 206 234 278 254 June.. 1,390 bikes esired ending inventory July 1,270 bikes eeded 1236 1404 1668 4308 206 206 234 646 Beginning inventory 1030 1198 1434 3662 o produce Print Done
Shadee Corporation expects to sell 590 sun shades in May and 360 in June. Each shades sells for $15. Shadee's beginning and ending finished goods inventories for May are 80 and 50 shades, respectively. Ending finished goods inventory for June will be 60 shades. It expects the following unit sales for the third quarter. July August September 545 450 430 Sixty percent of Shadee's sales are cash. Of the credit sales, 52 percent is collected in the month of the sale. 40 percent is collected during the following month, and 8 percent is never collected. Required: Calculate Shadee's total cash receipts for August and September Note: Do not round your intermediate calculations. Round your answers to the nearest whole dollar. Total Cash Receipts August September
One Device makes universal remote controls and expects to sell 450 units in January, 750 in February, 450 in March, 600 in April, and 650 in May. The required ending inventory is 20% of the next month’s sales. Prepare a production budget for the first four months of the year. One Device Production Budget For the Four Months Ending April 30, 20XX January February March April Expected Sales fill in the blank 1 fill in the blank 2 fill in the blank 3 fill in the blank 4 fill in the blank 6 fill in the blank 7 fill in the blank 8 fill in the blank 9 Total Required Units fill in the blank 10 fill in the blank 11 fill in the blank 12 fill in the blank 13 fill in the blank 15 fill in the blank 16 fill in the blank 17 fill in the blank 18 Required Production fill in the blank 19 fill in the blank 20 fill in the blank 21 fill in the blank 22 Total fill in the blank 23

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