Chapter 12, Question 5. Attached is a similar question with ansswers. Please complete the new one :) Production cash outflow. National Beverage Company produces its products two months in advance of anticipated sales and ships to warehouse centers the monthbefore sale. The inventory safety stock is 7% of the anticipated month's sale. Beginning inventory in October 2014 was 261,326 units. Each unit costs $0.25 to make.The average selling price is $0.72 per unit. The cost is made up of 39% labor, 54% materials, and 7% shipping (to the warehouse). The company pays for labor themonth of production, shipping the month after production, and raw materials the month prior to production. What is the production cash outflow for products producedin the month of October 2014, and in what months does it occur? Note: October production is based on December anticipated sales. The fourth-quarter salesforecasts are as follows: $1,910,000 (October), $2,136,000 (November), and189,000 (December).What is the production cash outflow for the month of October 2014 production? (Hint: The production cost comprises labor, raw materials, and shipping.)The labor cost is $(Round to the nearest dollar.) Production cash outflow. National Beverage Company produces its products two months in advance of anticipated sales and ships to warehouse centers the monthbefore sale. The inventory safety stock is 6% of the anticipated month's sale. Beginning inventory in October 2014 was 269,885 units. Each unit costs $0.29 to make.The average selling price is $0.67 per unit. The cost is made up of 43% labor, 48% materials, and 9% shipping (to the warehouse). The company pays for labor themonth of production, shipping the month after production, and raw materials the month prior to production. What is the production cash outflow for products producedin the month of October 2014, and in what months does it occur? Note: October production is based on December anticipated sales. The fourth-quarter salesforecasts are as follows: $1,807,000 (October), $2,023,000 (November), and $2,113,000 (December).What is the production cash outflow for the month of October 2014 production? (Hint: The production cost comprises labor, raw materials, and shipping.)The labor cost is $ 383,212. (Round to the nearest dollar.)The raw materials cost is $ 427,771. (Round to the nearest dollar.)The shipping cost is $ 80,207. (Round to the nearest dollar.)In what months does the production cash outflow for the month of October 2014 production occur?The production cash outflow for the month of October 2014 production is as follows: (Select the best response. Due to rounding, numbers below might differ from youroriginal answers a few dollar units.)A. September for raw materials, $427,771; October for labor, $383,212; November for shipping, $80,207.O B. September for raw materials, $427,771; October for shipping, $80,207; November for labor, $383,212.OC. September for shipping, $80,207; October for raw materials, $427,771; November for labor, $383,212.O D. September for labor, $383,212; October for raw materials, $427,771; November for shipping, $80,207.

Production cost: Production cost is defined as the cost incurred by the company for manufacturing…

Production cash outflow. National Beverage Company produces its products two months in advance of anticipated sales and ships to warehouse centers the month before sale. The inventory safety stock is 7% of the anticipated month's sale. Beginning inventory in October 2014 was 261,326 units. Each unit costs $0.25 to make. The average selling price is $0.72 per unit. The cost is made up of 39% labor, 54% materials, and 7% shipping (to the warehouse). The company pays for labor the month of production, shipping the month after production, and raw materials the month prior to production. What is the production cash outflow for products produced in the month of October 2014, and in what months does it occur? Note: October production is based on December anticipated sales. The fourth-quarter sales forecasts are as follows: $1,910,000 (October), $2,136,000 (November), and $2,189,000 (December). What is the production cash outflow for the month of October 2014 production? (Hint: The production cost comprises labor, raw materials, and shipping.) The labor cost is $. (Round to the nearest dollar.)