Sohar Manufacturing plans to produce 27000 units, and 20000 units, respectively, in October, and November. Each of these units requires 3 units of part no. 879. Sohar has 31000 units of part no. 879 in stock on September 30. Management desires to maintain an ending raw- material inventory equal to 50% of the following month's production usage What will be the direct-material purchases budge for October in units.
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- Wisdom Corporation plans to sell 23,000 units during August. If the company has 8,000 units on hand at the start of the month, and plans to have 9,000 units on hand at the end of the month, how many units must be produced during the month? O 24,000 O 22,000 O 32,000 O 31,000The Company manufactures foam cushions. The number of cushions to be produced in the upcoming three months follows: Number of foam cushions to be produced in July 13,000 Number of foam cushions to be produced in August 19,000 Number of foam cushions to be produced in September 12,000 Each cushion requires 2 pounds of the foam used as stuffing. The Company has a policy that the ending inventory of foam each month must be equal to 30% of the following month's expected production needs. How many pounds of foam does the Company need to purchase in August?A large St. Louis feed mill, Robert Orwig Processing,prepares its 6-month aggregate plan by forecasting demand for50-pound bags of cattle feed as follows: January, 1,000 bags;February, 1,200; March, 1,250; April, 1,450; May, 1,400; and June,1,400. The feed mill plans to begin the new year with no inventory left over from the previous year, and backorders are not permit-ted. It projects that capacity (during regular hours) for producing bags of feed will remain constant at 800 until the end of April, andthen increase to 1,100 bags per month when a planned expansionis completed on May 1. Overtime capacity is set at 300 bags permonth until the expansion, at which time it will increase to 400bags per month. A friendly competitor in Sioux City, Iowa, is alsoavailable as a backup source to meet demand—but can provideonly 500 bags total during the 6-month period. Develop a 6-monthproduction plan for the feed mill using the transportation method.Cost data are as follows:Regular-time cost per…
- 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 1.500 The 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 remain constant 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 which time 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 feed mill using the transportation method. Cost data are as follows: Regular-time cost…Use the following information for questions 33-36: Lovely Manufacturing has scheduled production as follows for the next several months: Months Production January 1,000 February 1,200 March 1,400 Assume that it takes two pounds of raw material to make one finished unit and that ending inventory of raw materials for any month is scheduled to be 25% of next month production needs. 1.The beginning inventory of raw materials in pounds for January should be? 2. The desired ending inventory of raw materials in pounds for February is?James Inc. makes industrial solvents sold in 5-gallon drums. Planned production in units for the first 3 months of the coming year is: January 43,800 February 41,000 March 50,250 Each drum requires 5.5 gallons of chemicals and one plastic drum. Company policy requires that ending inventories of raw materials for each month be 15% of the next month's production needs. That policy was met for the ending inventory of December in the prior year. The cost of one gallon of chemicals is P100. The cost of one drum is P80. (Note: Round all unit amounts to the nearest units. Round all the peso amounts to the nearest peso.) Required: 1. Prepare a direct materials purchases budget for chemicals for the month of January and February. 2. Prepare a direct materials purchases budget for drums for…
- Paper Corporation expects to have the sales and expenses shown for August, September,andOctober. The company expects to receive 55% of collections for sales in the month the saleoccurs, 35% in the following month, and the remainder to be uncollectible. The companypolicy for manufacturing expenses requires that 70% of the expenses be paid in the monthincurred and 30% in the following month. All other expenses are paid in the month incurred.The company also earns and collects $5,000 of rental revenue eachmonth. At the end of thequarter, Paper Corporation must make an estimated tax payment, which the companyestimates will be 7% of the quarter’s total sales. Prepare the cash budget for the three monthsif cash as of August 1, 2015, totaled $51,500. The company requires a $50,000 minimum cashbalance. July August September October Sales $34,000 $39,000 $46,000 $40,000 Manufacturing costs 15,200 16,800 20,100 19,900 Selling expenses 10,000 10,200 14,500 16,500 Administrative…Bodin Company budgets on an annual basis. The following beginning and ending inventory levels (in units) are plannned for the year 20x1. Five units of raw material are required to produce each unit of finished product. Raw material Work in process Finished goods Required: January 1 41,000 December 31 48,000 20,000 20,000 92,000 59,000 1. If Bodin Company plans to sell 452,000 units during the year, compute the number of units the firm would have to manufacture during the year. 2. If 520,000 finished units were to be manufactured by Bodin Company during the year, determine the amount of raw material to be purchased. 1. Required production in units 2. Raw material purchases in unitsSheffield Company has 2,080 pounds of raw materials in its December 31, 2021, ending inventory. Required production for January and February of 2022 are 5,200 and 6,500 units, respectively. Two pounds of raw materials are needed for each unit, and th estimated cost per pound is $5. Management desires an ending inventory equal to 20% of next month's materials requirements. Prepare the direct materials budget for January. SHEFFIELD COMPANY Direct Materials Budget For the Month Ending January 31, 2022 $ $
- Shadee Corp. expects to sell 620 sun visors in May and 380 in June. Each visor sells for $22 Shadee's beginning and ending finished goods inventories for May are 90 and 50 units, respectively. Ending finished goods inventory for June will be 60 units. Each visor requires a total of $4.50 in direct materials that includes an adjustable closure that the company purchases from a supplier at a cost of $2.00 each. Shadee wants to have 26 closures on hand on May 1, 18 closures on May 31, and 27 closures on June 30. Additionally. Shadee's fixed manufacturing overhead is $800 per month, and variable manufacturing overhead is $1.50 per unit produced. Required: 1. Determine Shadee's budgeted cost of closures purchased for May and June 2. Determine Shadee's budget manúfacturing overhead for May and June Complete this question by entering your answers in the tabs below. Required 1 Required 2 Determine Shadee's budgeted cost of closures purchased for May and June. (Round your answeos to 2 decimal…Pridgeon Corporation plans to sell 23,000 units during August. If the company has 8,000 units on hand at the start of the month, and plans to have 9,000 units on hand at the end of the month, how many units must be produced during the month? O 24,000 O 22,000 O 32,000 O 31,000The Porch Cushion Company manufactures foam cushions. The number of cushions to be produced in the upcoming three months follows: Number of foam cushions to be produced in July Number of foam cushions to be produced in August Number of foam cushions to be produced in September Each cushion requires 2 pounds of the foam used as stuffing. The company has a policy that the ending inventory of foam each month must be equal to 30% of the following month's expected production needs. How many pounds of foam does The Porch Cushion Company need to purchase in August? OA. 20,800 OB. 15,400 13,000 11,000 9,000 OC. 27,400 OD. 28,600