Make a Decision Nonmanufacturing Staffing Budgets MAD 8-1 Analyze Johnson Stores' staffing budget for holidays Johnson Stores is planning its staffing for the upcoming holiday season. From past history, the store determines that it needs one additional sales clerk for each $12,000 in daily sales. The average daily sales is anticipated to increase by $96,000 from Black Friday until Christmas Eve. or 27 shopping days. Each additional sales clerk will work an eight-hour shift and will be paid $14 Obj. 6 per hour. a. Determine the amount to budget for additional sales clerks for the holiday season. b. If Johnson Stores has an average 40% gross profit on sales, should it add the staff suggested by your answer in (a)? That is, is it profitable to staff for the increased sales in (a)?

Make a Decision Nonmanufacturing Staffing Budgets MAD 8-1 Analyze Johnson Stores' staffing budget for holidays Johnson Stores is planning its staffing for the upcoming holiday season. From past history, the store determines that it needs one additional sales clerk for each $12,000 in daily sales. The average daily sales is anticipated to increase by $96,000 from Black Friday until Christmas Eve. or 27 shopping days. Each additional sales clerk will work an eight-hour shift and will be paid $14 Obj. 6 per hour. a. Determine the amount to budget for additional sales clerks for the holiday season. b. If Johnson Stores has an average 40% gross profit on sales, should it add the staff suggested by your answer in (a)? That is, is it profitable to staff for the increased sales in (a)?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Complete part a and b please and thank you
can u help
don't give answer in image format
Help
Ashvinn
Problem 1 As treasurer of a manufacturing company, you are preparing a cash budget for September of the next fiscal year. The information for September you have, at your disposal to complete this task is as follows: (а) Next year's sales forecast follows: July August September October $350,000 $240,000 $300,000 $360,000 (b) The sales price is $60. (c) Each month, 20% of the sales are for cash and 80% are on credit. (d) The AR collection pattern for credit sales is: 20% is received in 0-30 days 50% is received in 31-60 days 30% is received in 60-90 days (e) The cash in bank at the beginning of September is $15,400 (f) The per unit production cost data is: Direct material $20 Direct labor 1 direct labor hour per unit; $15 direct labor rate The company monthly beginning FG inventory policy is to maintain a minimum of 25% of the current month's sales. (g) (h) The AP pattern for credit purchases is: 30% is paid in 0-30 days 70% is paid in 31-60 days (i) There is a income tax payment of…
Manji
can u help me
Please do not give solution in image format thanku
Please do not give solution in image format thanku