Coles Company, Inc. makes and sells custom designed window shades to large stores such as Home Depot. The window shades are designed to customer specifications and produced after an order is received. Shades are shipped immediately upon completion of each job. Budgeted sales of window shades for the next three months are (in units):

August15,000September16,000October15,500

Each shade requires four yards of fabric that Coles purchases from an outside supplier. Coles has 18,000 yards of fabric on hand at the end of July. Coles wants to carry an ending inventory of fabric equal to 30% of the estimated sales for the following month.

The quantity of fabric purchased for the month of September is:

A.15,850 yards

B.63,400 yards

C.18,600 yards

D.64,000 yards

Assuming the forecasted sales are accurate, how many window shades will Coles Company produce in August?

A.14,550

B.19,800

C.15,000

D.16,000

The Financial Aid Department of the American International University is preparing its annual budget for the coming year. They expect to processfinancial aid applicationsfrom7,500 students next year. One of the main activities in this department is to "determine (financial aid) eligibility". Trained employees go through each application to check income, grade point average, prior aid, and other factors to determine if an application should be forwarded to a counselor to determine how much financial aid to grant.

Specially trained financial aid associates perform the"determine eligibility" activity. Each associate receives a salary of $22,000 per year and works 40 hours a week for 50 weeks a year. It takes an associate, on average, 30 minutes to review an application. However, out of each working hour, an associate is idle for approximately 20% of the time taking breaks or waiting for work to arrive. The university can hirepart time help on a half-day basisbut cannot hire hourly employees to perform this task. Each associate working on applications must have a computer, desk and chair. It costs $2,000 per person to provide a workstation, desk and chair to each person.

How many total associate hours (including both productive and nonproductive) should the university budget to get the work done?

A.3,750 hours

B.4,687.5 hours

C.9,000 hours

D.7,500 hours