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xeze [42]
3 years ago
7

Waterloo, Ltd. manufactures a component used in aircraft navigation systems. Demand has been strong and the executive staff at W

aterloo is planning for next year. Yesterday, you were called into a budgeting meeting where production plans are being reviewed. You learn that the inventory policy at Waterloo is to hold one and one-half months’ worth of sales (to avoid issues with transportation disruptions). The sales budget for next year is 662,000 units, spread evenly over the year. Because of an unexpected increase in demand, inventory at the end of this year is expected to be only 32,000 units. The capacity of the plant is 702,000 units annually.1. What production level next year will be required to meet the targets? (Do not round intermediate calculations.)
Business
1 answer:
Klio2033 [76]3 years ago
8 0

Answer:

the production level next year is 712,750

Explanation:

The computation of the production level next year will be needed to meet the targets is shown below:

Ending Inventory (662,000 ÷ 12 × 1.5) 82,750

Sales Budget                                    662,000

Total inventory required                744,750

Less Beginning Inventory             -32,000

Production                                     712,750  

Hence, the production level next year is 712,750

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Kiddie tax for over and above 2600  $576

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7 0
3 years ago
A partial listing of costs incurred during March at Febbo Corporation appears below: Factory supplies $ 9,000 Administrative wag
Anika [276]

Answer:

$ 68,000

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The total manufacturing overhead costs should include the following heads:

Factory Supplies                                           $    9,000

Factory depreciation                                    $   33,000

Indirect labor                                                 $  26,000

Total manufacturing overhead                    $  68,000

The direct materials and direct labor are not part of the manufacturing overhead. though they are part of the manufacturing costs.

The admin  wages and salaries, corporate headquarters rent and the marketing costs are not manufacturing costs

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3 years ago
A(n) _____ does not give an exclusive right of possession, but a right of permanent, intermittent use
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3 years ago
​Traditionally, Fed policymakers have been​ ________ to use higher interest rates to head off potential asset bubbles​ ________.
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D) ​hesitant; because it may cause a slowdown in the economy

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The FED usually increases interest rates to halt rapidly increasing inflation, and it could be useful to calm down potential asset bubbles. The problem with raising interest rates is that it immediately cools down the economy and slow down economic growth. It might even stop economic growth and cause a recession.

Since higher interest rates increase the cost of borrowing for everyone in the economy (individuals, businesses), consumption decreases and investment increases. The problem with this is that private consumption represents nearly 70% of the GDP and the money multiplier is responsible for a lot of this.

5 0
3 years ago
A depositor places $10,000 in cash in a commercial bank, where the required reserve ratio is 10 percent. The bank sends the $10,
garik1379 [7]

Answer:

C) $10,000, $1,000, and $9,000, respectively.

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bank's reserve ratio is 10% = $10,000 x 10% = $1,000

since the bank kept the whole $10,000 as reserves, then:

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The bank is only required to keep $1,000 in reserves, this means it can borrow the remaining $9,000 whenever they want.

7 0
3 years ago
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