Production needs in inventory for component a, Cost Accounting

Assignment Help:

Kenner company produces two products: SR200 and TX500. Budged sales for four months are as follows;
SR200 TX500
May 8,000 20,000
June 13,000 32,000
July 11,000 39,000
August 18,000 46,000

Kenner's ending inventory policy is that SR200 should have 15% of next month's sales in ending inventory and TX500 should have 40% of next months sales in ending Inventory. On May 1, there were 1,200 units of SR200 and 9,000 units of TX500.

TX500 requires 6 units of component A. (SR200 does not use component A.)There were 30,000 units of Component A in inventory on May 1. Kenner wants to have a 20% of the following month's production needs in inventory for component A.

1. How many units of TX500 are budgeted for production in June?
A. 32,000
B. 34,800
C. 47,600
D. 12,800
E. 45,000
Show work

 


2.What is the budgeted production of SR200 for May in units?
A. 1200
B. 8000
C. 10500
D. 8750
E. 9950
show work

 


Related Discussions:- Production needs in inventory for component a

West Industries, West Industries is a highly decentralized corporation with...

West Industries is a highly decentralized corporation with independent operating divisions. Each division is evaluated and rewarded based on its total net income. One of the divisi

Attainable standards and current standards, Attainable Standards and Curren...

Attainable Standards and Current Standards Although the standard must be set high sufficient that achievable and it has to be worked for. Attainable standards must provide a c

Determine cash flow statement, Download the financials of Shoprite , study ...

Download the financials of Shoprite , study them, then, using ratio analysis, the cash flow statement, and the segmental breakdown of the results, prepare a statement outlining the

Determine the amount of depreciation expense, Waylander Coatings Company pu...

Waylander Coatings Company purchased waterproofing equipment on January 6, 2013, for $320,000.The equipment was expected to have a useful life of four years, or 20,000 operating ho

Principles of marginal costing, Principles of Marginal Costing The pri...

Principles of Marginal Costing The principles of marginal costing are as given: 1. Period fixed costs are similar, for any volume of sales and production provided suc

Ms, Goga Ltd is busy building a five-star hotel in the area, they use the p...

Goga Ltd is busy building a five-star hotel in the area, they use the percentage of completion method to determine profits and would like to calculate the profit for the year. dra

Activity Based Costing, How do I figure the estimated activity and estimate...

How do I figure the estimated activity and estimated allocation base?

Process costing, how to prepare separate accounts for each process given ha...

how to prepare separate accounts for each process given having been givent normal loss,output,overhead and output passes to next process

Elements of cost, Elements of Cost Nearly there are three elements of c...

Elements of Cost Nearly there are three elements of cost - labor, material, and expenses. These are additional divided into indirect and direct material, indirect and direct la

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd