2 mcqs. Need asap.

timer Asked: Apr 28th, 2017

Question description

Coles Company, Inc. makes and sells custom designed window shades to large stores such as Home Depot. The window shades are designed to customer specifications and produced after an order is received. Shades are shipped immediately upon completion of each job. Budgeted sales of window shades for the next three months are (in units):

August 15,000 September 16,000 October 15,500

Each shade requires four yards of fabric that Coles purchases from an outside supplier. Coles has 18,000 yards of fabric on hand at the end of July. Coles wants to carry an ending inventory of fabric equal to 30% of the estimated sales for the following month.

The quantity of fabric purchased for the month of September is:

A.15,850 yards

B.63,400 yards

C.18,600 yards

D.64,000 yards

Assuming the forecasted sales are accurate, how many window shades will Coles Company produce in August?





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