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Bambino Sporting Goods makes baseball gloves that are very popular in the spring and early summer season. Units sold are anticipated as follows Bambino Sporting
Bambino Sporting Goods makes baseball gloves that are very popular in the spring and early summer season. Units sold are anticipated as follows
Bambino Sporting Goods makes baseball gloves that are very popular in the spring and early summer season. Units sold are anticipated as follows: Monthly Unit Sales 3,900 7,900 12,800 10,800 April 35,400 Total units sold 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 preceding assumption s oo optimistic and decides to go with 8,850 per month eve production avoid being out o merchandise Hew produce the 35400 units o e ou months at a eve of a. What is the ending inventory at the end of each month? Compare the unit sales to the units produced and keep a running total Ending Inventory April b. If the inventory costs $16 per unit and will be financed at the bank at a cost of 6 percent, what is the monthly financing cost and the total for the four months? (Use .5 percent as the monthly rate.) Inventory Financing Cost Total financing cost Bambino Sporting Goods makes baseball gloves that are very popular in the spring and early summer season. Units sold are anticipated as follows: Monthly Unit Sales 3,900 7,900 12,800 10,800 April 35,400 Total units sold 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 preceding assumption s oo optimistic and decides to go with 8,850 per month eve production avoid being out o merchandise Hew produce the 35400 units o e ou months at a eve of a. What is the ending inventory at the end of each month? Compare the unit sales to the units produced and keep a running total Ending Inventory April b. If the inventory costs $16 per unit and will be financed at the bank at a cost of 6 percent, what is the monthly financing cost and the total for the four months? (Use .5 percent as the monthly rate.) Inventory Financing Cost Total financing costStep by Step Solution
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