Teton Trails manufactures backpacks for adventurers. The backpacks come in two types: Daytripper, and Excursion. Teton anticipates the following production volumes:Daytripper: 3,000 backpacks in July, 3,300 backpacks in AugustExcursion: 1,800 backpacks in July, 1,350 backpacks in AugustEach Daytripper backpack requires 1 yard of 800 denier polyester fabric and each Excursion backpack requires 2 yards of yards of 1,200 denier polyester fabric. Teton's policy is to maintain ending inventories of each type offabric at 10% of expected production needs for the next month.What is the budgeted level of material purchases in July for both types?Select one:a. 3,030 yards of 800 denier polyester and 1,710 yards of 1200 denier polyesterb. 2,970 yards of 800 denier polyester and 3,690 yards of 1200 denier polyesterc. 3,030 yards of 800 denier polyester and 3,510 yards of 1200 denier polyesterd. None of these options are correct.e. 3,000 yards of 800 denier polyester and 3,600 yards of 1200 denier polyester

To determine the budgeted level of material purchases in July for both types of fabric, we need to…

Answered: Teton Trails manufactures backpacks for…

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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A-7
Teton Trails manufactures backpacks for adventurers. The backpacks come in two types: Daytripper, and Excursion. Teton anticipates the following production volumes: Daytripper: 2,400 backpacks in July, 2,640 backpacks in August Excursion: 1,440 backpacks in July, 1,080 backpacks in August Each Daytripper backpack requires 1.0 hour of direct labor and each Excursion backpack requires 2.5 hours of direct labor. If the total budgeted labor for August is 6,000 hours, how much indirect labor did Teton budget? Select one: O O O O a. 0 hours b. 660 hours c. 2,280 hours d. 1,860 hours e. None of these options are correct. Screen Shot 2020-11-25 at 11.53.35 PM.png
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Black Diamond Company produces snow skis. Each ski requires 3 pounds of carbon fiber. The company’s management predicts that 5,500 skis and 6,500 pounds of carbon fiber will be in inventory on June 30 of the current year and that 155,000 skis will be sold during the next (third) quarter. A set of two skis sells for $350. Management wants to end the third quarter with 4,000 skis and 4,500 pounds of carbon fiber in inventory. Carbon fiber can be purchased for $20 per pound. Each ski requires 0.4 hours of direct labor at $25 per hour. Variable overhead is applied at the rate of $13 per direct labor hour. The company budgets fixed overhead of $1,787,000 for the quarter. Prepare the third-quarter production budget for skis. BLACK DIAMOND COMPANY Production Budget (in units) Third Quarter Required units of available production Units to be manufactured

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