Question

ontempo futon manufactures futons. the estimated number of sales for the last quarter of 2015 is as follows: monthsales october20,000 november25,000 december30,000 beginning finished goods should be equal to 30 percent of each month's sales during these months and 10 percent of each month's sales in other months. january 2016 sales are anticipated to be 15,000 futons. the cost to produce a futon is $125. how many futons will be produced in the last quarter of 2015?

Answer 1

The number of futons produced in the last quarter of 2015 is 12,000.

Step-by-step explanation:

The number of futons produced in the last quarter of 2015 can be calculated by multiplying the estimated sales for each month by the corresponding percentage for finished goods.

For October, November, and December, the beginning finished goods would be 30% of the sales. For other months, it would be 10% of the sales.

To find the total number of futons produced in the last quarter of 2015, you need to add up the futons produced for each month and subtract the futons sold in January, which is 15,000.

Let's calculate:

1. October: 20,000 x 0.3 = 6,000 futons
2. November: 25,000 x 0.3 = 7,500 futons
3. December: 30,000 x 0.3 = 9,000 futons
4. Other months: (0.1 x sum of other months' sales) = 0.1 x (20,000 + 25,000) = 4,500 futons
5. Total futons produced in Q4 2015: 6,000 + 7,500 + 9,000 + 4,500 - 15,000 = 12,000 futons

Therefore, a total of 12,000 futons will be produced in the last quarter of 2015.