K National Apparel (NA) manufactures plain white and solid-colored T-shirts. Budgeted inputs and alternative dye information include the following: (Click the icon to view the budgeted input data.) i (Click the icon to view alternative dye information.) Read the requirements. Requirement 1. Given the preceding information, would NA be better off financially by switching to the environmentally friendly dye? (Assume all other costs would remain the same.) Begin by calculating the increase in costs from switching to the environmentally friendly dye. (Round all intermediary calculations and the amounts you input in the cells to the nearest cent.) Increase in Costs Assuming NA uses New Dye Units to dye x Cost differential between dyes Increase in costs (from new dye) for the year $ 100,000 4 400,000 Would NA be better off financially by switching to the environmentally friendly dye? No, NA will not be better off financially by switching to the environmentally friendly dye. Requirement 2. Assume NA chooses to be environmentally responsible regardless of cost, and it switches to the new dye. The production manager suggests trying Kaizen costing. If USA can reduce fabric and labor costs each by 1% per month, by how much will overall costs decrease at the end of 12 months? First calculate the fabric costs resulting from the Kaizen improvements, then in the next step calculate the labor costs. (Round all intermediary calculations and the amounts you input the nearest dollar.) the cells to Fabric Month Cost 1 2 his Etext pages Get more help - 1 F2 2 #3 80 F3 W E S D $ 4 000 000 F4 % 205 F6 F5 6 9> & 27 F7 R T Y U LL F G H * 8 DII F8 DA F9 ( 9 ) O F10 Clear all Check answer P F11 E + 11 F12 { [ } 1 dele J K L ? tudent/PlayerHomework.aspx?homeworkId=631487624&questionid=4&flushed=false&cid=7074021¢erwin-yes Ow... P Take a Test - Tayl... P Phreesia Dashboard PHREESIA PAYME... M Question Mode: Fi... er 6 Homework Question 7, P6-36 (similar to) > < Part 3 of 8 HW Score: 4 Points: 1 National Apparel (NA) manufactures plain white and solid-colored T-shirts. Budgeted inputs and alternative dye information include th (Click the icon to view the budgeted input data.) (Click the icon to view alternative dye information.) Read the requirements. reauce fabric and labor costs eacn by 1% per monin, by now much will overall costs decrease at the end of 12 months? First calculate the fabric costs resulting from the Kaizen improvements, then in the next step calculate the labor costs. (Round all interme the nearest dollar.) Fabric Month Cost 1 23 4 5 6 7 8 8 9 10 11 12 Total t pages Get more help - F2 80 000 F3 F4 F5 F6 F7 @ 2 3 #3 St % 4 5 6 1& 7 * DII DD F8 F9 00 8 9 0 0 W E R T Y U S D F G H J K Read the requirments. requce Tabric and lapor First calculate the fabric the nearest dollar.) Requirement 1. Fabr Month Cos 2. 1 2 3 4 3. 56 7 8 9 10 11 12 Given the preceding information, would NA be better off financially by switching to the environmentally friendly dye? (Assume all other costs would remain the same.) If NA chooses to be environmentally responsible and switches to the new dye, the changes in the process will allow production managers to implement Kaizen costing. If NA can reduce fabric and labor costs each by 1% per month on all the shirts it manufactures, by how much will overall costs decrease at the end of 12 months? (Round to the nearest dollar for calculating cost reductions.) Refer to requirement 2. How could the reduction in material and labor costs be accomplished? Are there any problems with this plan? Print Done I intermediary calculations and the ad the requir Data table O reduce fabric and la First calculate the fa the nearest dollar.) Price Quantity Cost per unit of output F Fabric $14 per yard Month Labor $12 per DMLH 0.50 yard per unit 0.50 DMLH per unit $ 7 per unit $ 6 per unit 1 Dye* $0.20 per ounce *For colored T-shirts only 5 ounces per unit $ 1 per unit 23456 7 8 9 10 11 Budgeted sales and selling price per unit are as follows: Budgeted Sales Selling Price per Unit White T-shirts Colored T-shirts 8,000 units 100,000 units $ 16 per T-shirt $ .16 per T-shirt Print Done termediary calculations and the amount I intermediary calculations and the am - requce Tabric and lapor costs each by 1% per month, by now mucn will overall costs decrease at the end or 12 months? First calculate the fabric the nearest dollar.) More info Fabr Month Cos 1 2 3 456789 10 11 12 Total NA has the opportunity to switch from using the dye it currently uses to using an environmentally friendly dye that costs $1.00 per ounce. The company would still need 5 ounces of dye per shirt. NA is reluctant to change because of the increase in costs (and decrease in profit), but the Environmental Protection Agency has threatened to fine the company $397,500 if it continues to use the harmful but less expensive dye. Print Done