Kennywood Inc., a manufacturing firm, is able to produce 1,500 pairs of pants per hour, at maximum efficiency. There are three

eighthour

shifts each day. Due to unavoidable operating interruptions, production averages 800 units per hour. The plant actually operates only 27 days per month. Based on the current budget, Kennywood estimates that it will be able to sell only 504,000 units due to the entry of a competitor with aggressive marketing capabilities. But the demand is unlikely to be affected in future and will be around 515,000. Assume the month has 30 days. What is the

masterbudget

capacity utilization level for this budget period?

A.

555,500 units

B.

515,000 units

C.

525,600 units

D.

504,000 units

Kennywood Inc., a manufacturing firm, is able to produce 1,500 pairs of pants per hour, at maximum efficiency. There are three

eighthour

shifts each day. Due to unavoidable operating interruptions, production averages 800 units per hour. The plant actually operates only 27 days per month. Based on the current budget, Kennywood estimates that it will be able to sell only 504,000 units due to the entry of a competitor with aggressive marketing capabilities. But the demand is unlikely to be affected in future and will be around 515,000. Assume the month has 30 days. What is the

masterbudget

capacity utilization level for this budget period?

a. 555500

b. 515000

c. 525600

d. 504000

Kenwywood Inc., manualung em, bo to produce 1,600 pain of units per tout, at maximum cincy. There are twee-hour sach day Dusta varten. The plantacruly operates only 27 days per month Based on the current budget Kennywood estimates that it will be able to very f04000 units are to be any of a competitor wisi et capital and be affected in Mature and will be wound 515,000. Assume the month has 0 days. What is the master budget capitival for this tutge period BA555,500 unes On 515,000 units OC 25.600 units OD 504,000 units