If seasonal production is used, it is assumed that inventory will directly match sales for each
month and there will be no inventory bulidup. The production manager thinks the above
assumption is too optimistic and decides to go with level production to avoid being out of
merchandise. She will produce the 10,300 items at a level of 2,575 per month. a. What is the
ending inventory at the end of each month? Compare the units sold to the units produced and
keep a running total. (Do not leave any empty spaces; input a 0 wherever it is required. Negative
values should be indicated by a minus sign.) b. If the inventory costs $4 per unit and will be
financed through the bank at 12 percent per annum, what is the monthly financing cost and the
total for the four months? (Round your intermediate calculations and final answers to 2 decimal
places. Do not leave any empty spaces; input a 0 wherever it is required.)
If seasonal production is used, it is assumed that inventory will directly match sales for each
month and there will be no inventory buildup. The production manager thinks the above
assumption is too optimistic and decides to go with level production to avoid being out of
merchandise. She will produce the 10,300 items at a level of 2,575 per month. a. What is the
ending inventory at the end of each month? Compare the units sold to the units produced and
keep a running total. (Do not leave any empty spaces; input a O wherever it is required. Negative
values should be indicated by a minus sign.) b. If the inventory costs $4 per unit and will be
financed through the bank at 12 percent per annum, what is the monthly financing cost and the
total for the four months? (Round your intermediate calculations and final answers to 2 decimal
places. Do not leave any empty spaces; input a O wherever it is required.).
If seasonal production is used, it is assumed that inventory will dir.pdf
1. If seasonal production is used, it is assumed that inventory will directly match sales for each
month and there will be no inventory bulidup. The production manager thinks the above
assumption is too optimistic and decides to go with level production to avoid being out of
merchandise. She will produce the 10,300 items at a level of 2,575 per month. a. What is the
ending inventory at the end of each month? Compare the units sold to the units produced and
keep a running total. (Do not leave any empty spaces; input a 0 wherever it is required. Negative
values should be indicated by a minus sign.) b. If the inventory costs $4 per unit and will be
financed through the bank at 12 percent per annum, what is the monthly financing cost and the
total for the four months? (Round your intermediate calculations and final answers to 2 decimal
places. Do not leave any empty spaces; input a 0 wherever it is required.)
If seasonal production is used, it is assumed that inventory will directly match sales for each
month and there will be no inventory buildup. The production manager thinks the above
assumption is too optimistic and decides to go with level production to avoid being out of
merchandise. She will produce the 10,300 items at a level of 2,575 per month. a. What is the
ending inventory at the end of each month? Compare the units sold to the units produced and
keep a running total. (Do not leave any empty spaces; input a O wherever it is required. Negative
values should be indicated by a minus sign.) b. If the inventory costs $4 per unit and will be
financed through the bank at 12 percent per annum, what is the monthly financing cost and the
total for the four months? (Round your intermediate calculations and final answers to 2 decimal
places. Do not leave any empty spaces; input a O wherever it is required.)
