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Bambino Sporting Goods makes baseball gloves that are very popular in the spring and early summer season. Units sold are anticipated as follows: March April May June Total units sold Honthly Unit Sales 4,250 8,250 13,500 11,500 37,500 If seasonal production is used, it is assumed that inventory will directly match seles for each month and there will be no inventory buildup The production manager thinks the preceding assumption is too optimistic and decides to go with level production to avoid being out of merchandise. He will produce the 37,500 units over four months at a level of 9,375 per month. a. What is the ending inventory at the end of each month? Compare the unit sales to the units produced and keep a running total. Note: Leave no cells blank be certain to enter 'O' wherever required. March April May June Ending Inventory units units units units

Bambino Sporting Goods makes baseball gloves that are very popular in the spring and early summer season. Units sold are anticipated as follows: March April May June Total units sold Honthly Unit Sales 4,250 8,250 13,500 11,500 37,500 If seasonal production is used, it is assumed that inventory will directly match seles for each month and there will be no inventory buildup The production manager thinks the preceding assumption is too optimistic and decides to go with level production to avoid being out of merchandise. He will produce the 37,500 units over four months at a level of 9,375 per month. a. What is the ending inventory at the end of each month? Compare the unit sales to the units produced and keep a running total. Note: Leave no cells blank be certain to enter 'O' wherever required. March April May June Ending Inventory units units units units

FINANCIAL ACCOUNTING
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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b. If the inventory costs $12 per unit and will be financed at the bank at a cost of 12 percent, what is the monthly financing cost and the total for the four months? (Use 1 percent as the monthly rate.) Note: Leave no cells blank be certain to enter 'O' wherever required. March April May June Total financing cost Inventory Financing Cost $ 0
Transcribed Image Text:b. If the inventory costs $12 per unit and will be financed at the bank at a cost of 12 percent, what is the monthly financing cost and the total for the four months? (Use 1 percent as the monthly rate.) Note: Leave no cells blank be certain to enter 'O' wherever required. March April May June Total financing cost Inventory Financing Cost $ 0
Bambino Sporting Goods makes baseball gloves that are very popular in the spring and early summer season. Units sold are anticipated as follows: March April May June Total units sold Monthly Unit Sales 4,250 8,250 13,500 11,500 37,500 If seasonal production is used, it is assumed that inventory will directly match sales for each month and there will be no inventory buildup. The production manager thinks the preceding assumption is too optimistic and decides to go with level production to avoid being out of merchandise. He will produce the 37,500 units over four months at a level of 9.375 per month. a. What is the ending inventory at the end of each month? Compare the unit sales to the units produced and keep a running total. Note: Leave no cells blank be certain to enter '0' wherever required. March April May June Ending Inventory units units units units
Transcribed Image Text:Bambino Sporting Goods makes baseball gloves that are very popular in the spring and early summer season. Units sold are anticipated as follows: March April May June Total units sold Monthly Unit Sales 4,250 8,250 13,500 11,500 37,500 If seasonal production is used, it is assumed that inventory will directly match sales for each month and there will be no inventory buildup. The production manager thinks the preceding assumption is too optimistic and decides to go with level production to avoid being out of merchandise. He will produce the 37,500 units over four months at a level of 9.375 per month. a. What is the ending inventory at the end of each month? Compare the unit sales to the units produced and keep a running total. Note: Leave no cells blank be certain to enter '0' wherever required. March April May June Ending Inventory units units units units
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