Dawes Designs buys T-shirts for clubs, teams, and other organizations. Dawes takes the shirts and adds the organization's logo. Because of the uncertainty in the timing of the sales and to avoid stock outages, Dawes tries to maintain an inventory of shirts equal to two-month's of sales. The shirts cost $18.50 each and must be paid for in cash. On June 30 of the current year, the company expects to have 16,800 shirts in stock. Sales estimates, based on contracts received and historical data, are as follows for the next six months: July August September October November December 8,220 11,190 8,660 9,210 6,680 5,360 Required: a. & b. Estimate purchases (in units) and cash required to make purchases in July, August, and September. Units to be purchased Estimated cost DAWES DESIGNS Merchandise Purchases Budget For the Period Ended March 31 (in units) July August September

Saché, Incorporated, expects to sell 840 of its designer suits every week. The store is open seven days a week and expects to sell the same number of suits every day. The company has an EOQ of 650 suits and a safety stock of 120 suits. Once an order is placed, it takes three days for Saché to get the suits in.    How many orders does the company place per year? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)       Assume that it is Monday morning before the store opens, and a shipment of suits has just arrived. When will Saché place its next order?   multiple choice Monday Tuesday Wednesday Thursday Friday Saturday Sunday

Black Diamond Company produces snow skis. Each ski requires 3 pounds of carbon fiber. The company’s management predicts that 5,500 skis and 6,500 pounds of carbon fiber will be in inventory on June 30 of the current year and that 155,000 skis will be sold during the next (third) quarter. A set of two skis sells for $350. Management wants to end the third quarter with 4,000 skis and 4,500 pounds of carbon fiber in inventory. Carbon fiber can be purchased for $20 per pound. Each ski requires 0.4 hours of direct labor at $25 per hour. Variable overhead is applied at the rate of $13 per direct labor hour. The company budgets fixed overhead of $1,787,000 for the quarter.  Prepare the direct labor budget for the third quarter.     BLACK DIAMOND COMPANY Direct Labor Budget Third Quarter Units to be produced           Total labor hours needed           Budgeted direct labor cost

The Junior Achievers Club maintains an inventory of chocolate bars to meet its annual demand for 100,000 bars to service customers. Each bar costs $5.00, and cost per order is $100.00. Carrying costs have been identified as $1.50 per bar. Recently, the supplier has offered the company a 6.5% discount if orders are placed semi-annually.  Show all calculations in answering questions below. Required: What will be Achievers Club’s total inventory costs if it utilizes EOQ?

Del Spencer is the owner and founder of Del Spencer’s Men’s Clothing Store. Del Spencer’s hasits own house charge accounts and has found from past experience that 10 percent of its salesare for cash. The remaining 90 percent are on credit. An aging schedule for accounts receivablereveals the following pattern:15 percent of credit sales are paid in the month of sale.65 percent of credit sales are paid in the first month following the sale.14 percent of credit sales are paid in the second month following the sale.6 percent of credit sales are never collected.Credit sales that have not been paid until the second month following the sale are consideredoverdue and are subject to a 3 percent late charge.Del Spencer’s has developed the following sales forecast:May $60,000June 55,000July 45,000August 56,000September 83,000 Required:Prepare a schedule of cash receipts for August and September.

Sacco Industries manufactures a popular interactive stuffed animal for children that requires three computer chips inside each toy. The company pays $2 for each computer chip. To help to guard against stockouts of the computer chip, Sacco Industries has a policy that states that the ending inventory of computer chips should be at least 25% of the following month's production needs. The production schedule for the first four months of the year is as follows: E (Click the icon to view the production schedule.) Requirement Prepare a direct materials budget for the first quarter that shows both the number of computer chips needed and the dollar amount of the purchases in the budget. ..... Prepare the direct materials budget by first calculating the total quantity needed, then complete the budget. Sacco Industries Direct Materials Budget - X For the Months of January through March Data table January February March Quarter Units to be produced 5,600 4,800 4,200 14,600 Stuffed animals to be…

The Hurley Hat Company manufactures baseball hats. Hurley’s primary customers are sporting goods stores that supply uniforms to youth baseball teams. Following is Hurley’s income statement for 2018: In 2018, Hurley produced and sold 200,000 baseball hats. Of the Cost of Goods gold, $150,000 is fixed; 80% of the Selling and Administrative Expenses are fixed. There were no beginning inventories on January 1, 2018. The company is considering two options to increase sales. Option 1: The company is operating at 100,000 hats below full production capacity and is considering increasing advertising to increase sales to the production capacity level in 2019. The marketing director predicts that an additional $100,000 expenditure for advertising Would increase sales to 300,000 hats per year. Option 2: The sales manager has been negotiating with buyers for several national sporting goods retailers and recommends the company expand production capacity to 400,000 hats in order to secure long-term…