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Suppose Kitchen Helpers manufactures cast iron skillets. One model is a 10-inch skillet that sells for $25. Kitchen Helpers projects sales of 600 10-inch
Suppose Kitchen Helpers manufactures cast iron skillets. One model is a 10-inch skillet that sells for $25. Kitchen Helpers projects sales of 600 10-inch skillets per month. The production costs are $10 per skillet for direct materials, $2 per skillet for direct labor, and $6 per skillet for manufacturing overhead. Kitchen Helpers has 70 10-inch skillets in inventory at the beginning of July but wants to have an ending inventory equal to 25% of the next month's sales. Selling and administrative expenses for this product line are $1,200 per month. How many 10-inch skillets should Kitchen Helpers produce in July? OA. 820 skillets OB. 600 skillets OC. 750 skillets OD. 680 skillets
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