1. Harwinton, Inc. anticipates sales of 48,000 units, 46,000 units, and 49,000 units in July, August,...

1. Harwinton, Inc. anticipates sales of 48,000 units, 46,000 units, and 49,000 units in July, August, and September, respectively. Company policy is to maintain an ending finished-goods inventory equal to 40% of the following month's sales. On the basis of this information, how many units would the company plan to produce in July? Multiple Choice 48,800. 47,200. 46,000. 46,800.

2..

Oxford Industries has the following sales forecasts for its snowshoes next year:


First Quarter	25,000	pairs
Second Quarter	5	% increase over first quarter
Third Quarter	4	% decrease from second quarter
Fourth Quarter	8	% increase over first quarter

What is Oxford’s estimated sales in units for next year?

Multiple Choice

103,450 pairs.
95,750 pairs.
100,000 pairs.
101,200 pairs.

Solutions

Expert Solution

1)
Statement Showing Units to be Produce In July Month
Particulars	Working	Units
Sale units of July month[A]		48000
Add: Closing Units [B] (August Sale Units*40%)	(40000 units*40%)	16000
Less: Opening Units [C] (July Sale Units*40%)	(48000 units*40%)	-19200
Units to be Produce in july month [A+B-C]		44800

Therefore 44800 units is correct answer


2)
Statement Showing total Sale units of next year
Particulars	Working	Pairs (Units)
First Quarter Units [A]		25000
Second Quarter Units [B] (5% increase over first quarter)	[25000*(100+5)%]	26250
Third Quarter Units [C] (4% decrease over second quarter)	[26250*(100-4)%]	25200
Fourth Quarter Units [D] (8% increase over first quarter)	[25000*(100+8)%]	27000
Total Units[A+B+C+D]		103450

Therefore 103450 pairs is correct answer

ekkarill92 answered 1 year ago

Next > < Previous

Related Solutions

Coleman, Inc. anticipates sales of 48,000 units, 46,000 units, 49,000 units and 48,000 units in July,...

Coleman, Inc. anticipates sales of 48,000 units, 46,000 units, 49,000 units and 48,000 units in July, August, September and October, respectively. Company policy is to maintain an ending finished-goods inventory equal to 40% of the following month's sales. On the basis of this information, how many units would the company plan to produce in September? 46,000. 46,800. 47,200. 48,600. Some other amount. Tidewater plans to sell 91,000 units of product no. 794 in May, and each of these units requires...

The budgeted sales in units for the next four months as follows: July 7,200 units August...

The budgeted sales in units for the next four months as follows: July 7,200 units August 5,400 units September 6,800 units October 7,000 units 1. Prepare the sales budget for the third quarter of the company knowing that each unit is sold for $40. (1.5pt) 2. Past experience has shown that the ending inventory for each month should be equal to 10% of the next month's sales in units. The inventory in the beginning of July was only 600 units....

Company budgeted sales in units for the next four months as follows: July 7,000 units August...

Company budgeted sales in units for the next four months as follows: July 7,000 units August 5,000 units September 6,500 units 1. Prepare the sales budget for the company knowing that each unit is sold for $50. (1 pt) 2. Past experience has shown that the ending inventory for each month should be equal to 20% of the next month's sales in units. The inventory in the beginning of July was only 1,000 units, & the inventory on September 30...

ABC Company’s budgeted sales for June, July, and August are 12,000, 16,000, and 14,000 units, respectively....

ABC Company’s budgeted sales for June, July, and August are 12,000, 16,000, and 14,000 units, respectively. ABC requires 30% of the next month’s budgeted unit sales as finished goods inventory each month. Budgeted ending finished goods inventory for May is 3,600 units. Each unit that ABC Company produces uses 3 pounds of raw material. ABC requires 25% of the next month’s budgeted production as raw material inventory each month. Required: Calculate the number of pounds of raw material to be...

On August 1, Daisy’s Groomers purchased new grooming equipment for $48,000 plus 8% sales tax. The...

On August 1, Daisy’s Groomers purchased new grooming equipment for $48,000 plus 8% sales tax. The equipment was advertised for $52,000. Other costs associated with the grooming equipment were: training for use of new equipment, $800; delivery cost of $225; installation cost, $1,100; and hiring of a new groomer, $1,000/month. At what amount will the grooming equipment be recorded on a balance sheet? $ 53,965 $ 53,165 $ 54,085 $ 55,085 XYZ, Inc. purchased an office building on October 1,...

On August 1, Daisy’s Groomers purchased new grooming equipment for $48,000 plus 8% sales tax. The...

On August 1, Daisy’s Groomers purchased new grooming equipment for $48,000 plus 8% sales tax. The equipment was advertised for $52,000. Other costs associated with the grooming equipment were: training for use of new equipment, $800; delivery cost of $225; installation cost, $1,100; and hiring of a new groomer, $1,000/month. At what amount will the grooming equipment be recorded on a balance sheet? A. $ 53,965 B. $ 53,165 C. $ 54,085 D. $ 55,085 XYZ, Inc. purchased an office...

Cruises, Inc. has budgeted sales revenues as follows: June July August September Credit sales ($)...

Cruises, Inc. has budgeted sales revenues as follows: June July August September Credit sales ($) 135,000 125,000 $ 90,000 120,000 Cash sales ($) 90,000 255,000 195,000 175,000 Total sales ($) 225,000 380,000 285,000 295,000 Purchases ($) 300,000 240,000 205,000 185,000 Past experience indicates that 60% of the credit sales will be collected in the month of sale and 20% will be collected in the following month and the remaining 20% after two months. Purchases of inventory are all...

Enterprises reported the following cash collections in July and August from credit sales: July August From...

Enterprises reported the following cash collections in July and August from credit sales: July August From June receivables $ 39,000 From July sales 126,000 $ 54,000 From August sales 168,000 The company sells a single product for $20, and all sales are collected over a two-month period. Required: Determine the number of units that were sold in July. Determine the percent of credit sales collected in the month of sale and the percent of sales collected in the month following...

Walnut has forecast sales for the next three months as follows: July 4,700 units, August 6,900...

Walnut has forecast sales for the next three months as follows: July 4,700 units, August 6,900 units, September 8,000 units. Walnut's policy is to have an ending inventory of 50% of the next month's sales needs on hand. July 1 inventory is projected to be 2,100 units. Selling and administrative costs are budgeted to be $16,000 per month plus $14 per unit sold. What are budgeted selling and administrative expenses for July? $143,500 $77,300 $84,700 $81,800

ZZ, Inc. has budgeted sales in units for the next six months as follows: Budgeted Sales in Units July...

ZZ, Inc. has budgeted sales in units for the next six months as follows: Budgeted Sales in Units July 7,700 units August 8,300 units September 5,400 units October 10,200 units November ?????? units December 11,700 units The selling price is $18 per unit. 30% of the company's sales are cash sales and 70% of the company's sales are made on account. The sales on account are collected in the pattern 15% in the month of sale, 20% in the month...

Subjects