Question 6 (5 points) Saved Walsh Company expects sales of Product W to be 63,000 units in April, 80,000 units in May and 77,000 units in June. The company desires that the inventory on hand at the end of each month be equal to 40% of the next month's expected unit sales. Given this information, Walsh Company's production of Product W for the month of May should be: Your Answer: Answer Question 7 (5 points) Tidewater plans to sell 85,000 units of product no. 794 in May, and each of these units requires three units of raw material. Pertinent data follow. Product No.794 Actual May 1 12,000 inventory units Desired May 31 18,000 inventory units Raw Material 25,000 units 24,000 units On the basis of the information presented, how many units of raw material should Tidewater purchase for use in May production? Your Answer: Answer Question 8 (5 points) Snider, Inc., which has excess capacity, received a special order for 3,000 units at a price of $20 per unit. Currently, production and sales are anticipated to be 10,000 units without considering the special order. Budget information for the current year follows. Sales $173,000 Less:Cost of goods sold 108,000 Cost of goods sold includes $30,000 of fixed manufacturing cost. If the special order is accepted, the company's income will increase by: Your Answer: Answer Question 9 (5 points) Lido manufactures A and B from a joint process (cost = $97,000). Five thousand pounds of A can be sold at split-off for $20 per pound or processed further at an additional cost of $20,000 and then sold for $25. Ten thousand pounds of B can be sold at split-off for $15 per pound or processed further at an additional cost of $37,000 and later sold for $17. If Lido decides to process B beyond the split-off point, operating income will decrease by: Your