Please help me with show all calculation thanku Alexandria Manufacturing, Inc., is considering reorganizing its plant into manufacturing cells. The following estimates have been prepared to evaluate the benefits from the reorganization:O a. $3,750O b. $5,500O c. $4,400Total annual salesCosts as percentage of sales:Direct materialsDirect laborO d. $1,100Manufacturing Support costsWork-in-process inventoryBefore the Change After the Change$250,000$375,00020%8%12%$50,000Inventory carrying costs are estimated to be 11% per year.As a result of the layout reorganization, reduced levels of work-in-process inventory are projected to decrease inventory carrying costs annually by:17%7%6%$ 40,000

Inventory carrying costs refers to the cost incurred towards holding and maintaining inventory over…

Alexandria Manufacturing, Inc., is considering reorganizing its plant into manufacturing cells. The following estimates have been prepared to evaluate the benefits from the reorgan Total annual sales Costs as percentage of sales: Direct materials Direct labor Manufacturing Support costs Work-in-process inventory O a. $3,750 O b. $5,500 O c. $4,400 O d. $1,100 Before the Change After the Change $250,000 $375,000 20% 8% 12% $50,000 17% 7% 6% $ 40,000 Inventory carrying costs are estimated to be 11% per year. As a result of the layout reorganization, reduced levels of work-in-process inventory are projected to decrease inventory carrying costs annually by:

Alexandria Manufacturing, Inc., is considering reorganizing its plant into manufacturing cells. The following estimates have been prepared to evaluate the benefits from the reorgan Total annual sales Costs as percentage of sales: Direct materials Direct labor Manufacturing Support costs Work-in-process inventory O a. $3,750 O b. $5,500 O c. $4,400 O d. $1,100 Before the Change After the Change $250,000 $375,000 20% 8% 12% $50,000 17% 7% 6% $ 40,000 Inventory carrying costs are estimated to be 11% per year. As a result of the layout reorganization, reduced levels of work-in-process inventory are projected to decrease inventory carrying costs annually by:

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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