A). Outline the concept of materials management being considered a balancing act.

B).If the cost of manufacturing (direct material and direct labor) is 60% of sales and profit is 10% of sales, what would be the improvement in profit if, through better planning and control, the cost of manufacturing was reduced from 60% of sales to 55% of sales?

C). On the average, a company has 10weeks of work-in-process and annual cost of goods sold of $30 million. Assuming that the company works 50 weeks a year:

.What is the dollar value of the work-in-process?

.If the work-in-process could be reduced to 5 weeks and the annual cost of carrying inventory was 20% of the inventory value, what would be the annual saving?