Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. greenthumb organic fertilizer company plans to sel

GreenThumb Organic Fertilizer Company plans to sell 220,000 units of finished product in July and...

80.2K

Verified Solution

Question

Accounting

GreenThumb Organic Fertilizer Company plans to sell 220,000 units of finished product in July and anticipates a growth rate in sales of 4 percent per month. The desired monthly ending inventory in units of finished product is 80 percent of the next month's estimated sales. There are 176,000 finished units in inventory on June 30. Each unit of finished product requires 5 pounds of raw material at a cost of $1.75 per pound. There are 800,000 pounds of raw material in inventory on June 30.
Required:
Compute the company's total required production in units of finished product for the entire three-month period ending September 30.
Note: Round all intermediate calculations and your final answer to the nearest unit.
Independent of your answer to requirement 1, assume the company plans to produce 780,000 units of finished product in the three-month period ending September 30, and to have raw-material inventory on hand at the end of the three-month period equal to 25 percent of the use in that period. Compute the total estimated cost of raw-material purchases for the entire threemonth period ending September 30.
Total required production in units
Total estimated cost
image

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Please discuss the main point of this paragraph… Our body reacts to love like it would act...

Psychology
Q

Measuring Current and Voltage: Make a circuit consist of a battery and a bulb. Measure and record...

Physics
Q

Define reliability and validity in your own words. Briefly describe the different types of reliability and...

Psychology
Q

Explain the equations of 1) coherency hardening 2) modulus effect 3) stacking fault energy 4) order hardening 5) surface hardening...

Mechanical Engineering
Q

Compute the confidence interval for the difference of two population means. Show your work. Sample Mean 1=...

Basic Math
Q

Three discs A B and C having radii 2m 4m and 6m respectively are coated...

Physics
Q

A pipe 30 cm long is open at both ends harmonic mode of the pipe...

Physics
Q

Let W d a 5c 0 be a subspace of M2 2 C Then dimension...

Algebra
Q

How do I switch from LIFO to FIFO method on the balance sheet if the...

Accounting
Q

Based on the following information, prepare journal entries for Windgate Corporation. Mar. 7 Issued 10,000...

Accounting
Q

The Rosa model of Mchave Cop is cumenty manufactuned as a very pin umbrela with...

Accounting
Q

The cost of rent for a manufacturing plant is generally considered to be a: ...

Accounting