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Inventory Management

Set of Internal Controls to Stop the Losses of Inventory

See the attached file. Jason Company, a small electronic distributor, has experienced losses of inventory over the past year. Sara Jason, the owner, on the advice of her accountant, has adopted a set of internal controls in an effort to stop the losses. Jason has taken the following steps: 1. She encourages employees to foll

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9.A company has the following forecast demand for the next six months: Month 1 2 3 4 5 6 Demand 300 300 400 300 300 400 The following information is also available. Workdays/month = 20 Labor hours/unit = 16 Working time/day = 8 The firm must p

Inventory Control Models

Demand for product is 100,000 per year, cost is $10 per order. Carryover cost per item year is 1/2 cent. Demand is constant, how much product should be ordered at a time to minimize the inventory costs? How many orders per year should be placed and what would the annual ordering cost be? What would the average inventory be a

Susceptibility to Fraud and Effects of Misstatements

Consider how an organization must manage cash, receivables, and inventory. Which of the three variables is the most important to manage (not internal control)? Is one more susceptible to fraud and errors than the others? Explain your answer. How would a misstatement in each affect the organization?

Partnership recognize gain or loss as a result of this distribution

Can you help me with this assignment? 1 Greg's outside basis in his interest in the GO Partnership is $360,000. In a proportionate non-liquidating distribution, the partnership distributes to him cash of $60,000, inventory (fair market value of $200,000, basis to the partnership of $160,000), and land (fair market value of $

Inventory Systems, Increases, Inclusion Count & Vendor Discounts

7. Detailed records of movements in merchandise (each purchase and sale) are not maintained in the inventory account in a A. perpetual inventory system. B. periodic inventory system. C. double entry accounting system. D. business that sells expensive merchandise. 8. Hunter Company purch

joint products in a company

A company makes 3 types of paper, a,b,c The process begins with taking 1000 pounds of scrap lumber which they pay $0.75 a pound for. The joint process also costs an addition $400 to process. The lumber is processed and the three types of paper come out. 200 pounds of a, 30 pounds of b, and 100 pounds of c. a can be sold at a sp

P17-3A Elbert Company Problem

P17-3A The income statement of Elbert Company is presented here: Elbert Corporation Income Statement For the Year Ended November 30, 2010 Sales - $7,700,000 Cost of Goods Sold Beginning Inventory -$1,900,000 Purchases - $4,400,000 Goods Available for Sale - $6,300,000 Ending Inventory - $ 1,400,000 Total Co

Inventory Management: Changing Inventory Policy

Anne Beck recently took over a beauty supply store. Her predecessor always ordered shampoo in quantities of 100 units. Anne is reevaluating this policy. Based on her analysis, the cost to place each order is $35 and the holding cost is $8 per shampoo bottle per year. The annual demand for this product is 2500 bottles. Should Ann

Gross Profit Ratio, Inventory Turnover Ratio and Average Days

** Please see the attached file for the complete problem description ** Please help me with the attached problem. The table below contains selected financial information included in the 2009 financial statements of Saks, Inc.., and Dillard's, Inc., two companies in the department store industry. ($ in Mil

Present Total Annual Stocking Costs

3.  The general manager of a local pool supply company wants to determine if he could save money if he used an EOQ ordering system, instead of the current rule of thumb approach.  He instructs Mr. Num Bercrunch, an inventory analyst, to conduct an analysis of one of the most popular pumps.  Mr. Bercrunch develops the followin

Inventory management

SuperValue Foods is a supermarket that stocks a special brand of cookies called Classic Cookies it purchases from Distinctive Foods. Demand for Classic Cookies is 5000 boxes per year (365 days) and the daily demand can be assumed to be a constant. The cost of ordering a batch of boxes of cookies is $80 per order including the co

Inventory Management Plotting

A factory can store 50 gallons at its location. Production uses three gallons per hour. The supplier can provide four gallons per hour. Assuming the factory starts with nothing on hand, and the supplier and factory are producing as much as possible, plot the inventory levels in the factory.

Inventory Management: Wheel-Rite

Arthur Meiners is a production manager of Wheel-Rite, a small producer of metal parts. Wheel-Rite supplies Cal-Tex, a larger assembly company, with 10,000 wheel bearings each year. This order has been stable for some time. Setup cost for Wheel-Rite is $40, and holding cost is $.60 per wheel bearing per year. Wheel-Rite can produ

Inventory Management for workbooks: EOQ, holding costs, ordering costs

Please use the attached excel worksheet to answer the problem. William Beville's computer training school, in Richmond, stocks workbooks with the following characteristics: Demand D = 19, 500 units/year Ordering cost S = $25/order Holding cost H = $4/unit/year a) Calculate the EOQ for the workbooks. b) What are the

Inventory Management for Houts Plastics: Classifications for ABC system

See attached file. l. Houts Plastics is a large manufacturer of injection-molded plastics in North Carolina. An investigation of the company's manufacturing facility in Charlotte yields the information presented in the table below (see attachment). How would the plant classify these items according to an ABC classificatio

Javabooks: suggestion for an automated system

Consider the following scenario: You are an independent technology consultant working with Margaret Smith, owner of JavaBooks, a bookstore and coffee shop. You initially met her at a networking meeting and had some great ideas about how she could improve her business with a more strategic approach to investing in information t

Furniture Manufacturers Inc

Furniture Manufacturers Inc uses 20,000 loads of lumber per year. A load of lumber costs $500 and the carrying cost is 10 percent of the unit cost. The cost to order is $200 per order and the lead time is three working days. Assuming 200 working days determine, (a) the economic order quantity, (b) the reorder point, (c) numbe

Hoehn Manufacturing Company

Hoehn Manufacturing Company experienced the following accounting events during its first year of operation. With the exception of the adjusting entries for depreciation, assume that all transactions are cash transactions. 1. Acquired $50,000 cash by issuing common stock. 2. Paid $8,000 for the materials used to make its pr

Perpetual inventory system

Based on the information below, illustrate the effects on the accounts and financial statements of the Seller and the Buyer. Both use a perpetual inventory system. (a) Seller sells Buyer on account merchandise costing $300 for $500, terms 2/10, net 30, FOB destination. The transportation charge is $50. (b) Buyer return

How a management information system for automating inventory management, invoice generation, receiving processes, requiring customer order fulfillment, and having Web-based self-services would help her business to compete with major book retailers

You are an independent technology consultant working with Margaret Smith, owner of JavaBooks, a bookstore and coffee shop. You initially met her at a networking meeting and had some great ideas about how she could improve her business with a more strategic approach to investing in information technology. Margaret was ecstatic to

Budgeting Worksheets for Fantastic, Inc.

1. Prepare the following budgets for the fiscal year ending December 31, 2006 using the provided spreadsheets. Note: it is required to use the provided worksheets using Excel formulas. 1. Direct labor budget 2. Manufacturing overhead budget 3. Projected Cost of Goods Manufactured (absorption costing) The attached exce

Powerswitch INC.: Ending Inventories

See attached template. PowerSwitch, Inc. designs and manufactures switches used in telecommunications. Serious flooding throughout North Carolina affected PowerSwitch's facilities. Inventory was completely ruined, and the company's computer system, including all accounting records, was destroyed. Before the disaster recov

Managing the Supply Chain for Home Depot

For this project, examine how Home Depot manages its inventory and then write a paper. APA Style, references, citation answer the following questions. Q1. Describe the ways in which Home Depot manages its inventory. Q2. How does the Home Depot's approach to inventory management impact on the efficiency of its supply cha

Operations management - Inventory control

Charlie's pizza orders all its pepperoni, olives, anchovies, and mozzarella cheese to be shipped directly from Italy. An American distributor stops by every four weeks to take orders. Because the orders are shipped directly from Italy, they take three weeks to arrive. Charlie's Pizza uses an average of 150 pounds of pepperoni ea

Inventory managment and scheduling questions

1. Briefly discuss the advantages and disadvantages of each of the following strategy plans: ? Maintain a level rate of output and let inventories absorb fluctuations in demand. ? Vary the size of the workforce to correspond to predicted changes in demand requirements. ? Maintain a constant workforce size, but vary hours work