The S&OP team at Kansas Furniture, has received the following estimates of demand requirements: July 1,800 July Aug. Sept. Oct. Nov. Dec. Assume regular-time production cost of $50 per unit, inventory carrying costs of $25 per unit per month, and 100 unit beginning inventory at the beginning of July. Create an aggregate plan that would produce at a steady rate of 1,300 units per month and subcontract additional units at a $60 per unit premium cost. What is the cost of this plan? Total Aug. Sept. Oct. 1,200 1,400 Demand 1800 1200 1400 1800 1000 1600 Regular Time Production Cost = Subcontract Cost = Nov. 1,800 1,000 Inventory Cost = Total Cost = Beginning Inventory Dec. 1,600 Regular Time Production Subcontract Ending Inventory

The S&OP team at Kansas Furniture, has received the following estimates of demand requirements: July 1,800 July Aug. Sept. Oct. Nov. Dec. Assume regular-time production cost of $50 per unit, inventory carrying costs of $25 per unit per month, and 100 unit beginning inventory at the beginning of July. Create an aggregate plan that would produce at a steady rate of 1,300 units per month and subcontract additional units at a $60 per unit premium cost. What is the cost of this plan? Total Aug. Sept. Oct. 1,200 1,400 Demand 1800 1200 1400 1800 1000 1600 Regular Time Production Cost = Subcontract Cost = Nov. 1,800 1,000 Inventory Cost = Total Cost = Beginning Inventory Dec. 1,600 Regular Time Production Subcontract Ending Inventory

Name: 3E20F33. The S&OP team at Kansas Furniture, has received the followin
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Description: 3E20F33. The S&OP team at Kansas Furniture, has received the following estimates of demandrequirements:July1,800July4Aug.Sept.Oct.Nov.Dec.$Assume regular-time production cost of $50 per unit, inventory carrying costs of $25 perunit per month, and 10

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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The production planning team of Red Velvet Inc showed that each product requires 3 units of raw materials costing 10 each. The inventory manager requires that 20% of the total raw materials purchased during the month must be kept as monthly ending inventory to avoid shortage The marketing team estimates that the demand of the product is 10,000 units in September 12,000 units in October, and 15,000 units in November. The starting inventory in September for the raw materials is 7,200 units. 1. What is the total units of raw materials needed to be purchased on the month of September to meet the requirements of different departments? 2. What is the total units of raw materials needed for the production of October estimated demand?
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The production department of Headstrong Company has submitted the following forecast of units to be produced by quarter for the upcoming fiscal year: 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Units to be produced 8,100 9,100 7,100 6,100 In addition, the beginning raw materials inventory for the first quarter is budgeted to be 1,950 kilograms and the beginning accounts payable for the first quarter are budgeted to be $3,490. Each unit requires 3.1 kg of raw material that costs $2.50 per kilogram. Management desires to end each quarter with an inventory of raw materials equal to 10% of the following quarter’s production needs. The desired ending inventory for the fourth quarter is 2,325 kilograms. Management plans to pay for 80% of raw material purchases in the quarter acquired and 20% in the following quarter. Each unit requires 0.6 direct labour-hours, and direct labour-hour workers are paid $19.5 per hour. Required: 1-a. Prepare the company's direct…
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The cost of the direct material that should be purchased in August is:
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