Greener Grass Fertilizer Company plans to sell 290,000 units

Greener Grass Fertilizer Company plans to sell 290,000 units

Subject: Business    / Accounting
Question
Greener Grass Fertilizer Company plans to sell 290,000 units of finished product in July and anticipates a growth rat Required: 1. Compute the company’s total required production in units of finished product for the entire three-month 2. Independent of your answer to requirement (1), assume the company plans to produce 640,000 units o 1. Total required production in units
2. Total estimated cost uly and anticipates a growth rate in sales of 6 percent per month. The desired monthly ending inventory in units of finished prod oduct for the entire three-month period ending September 30. (Round all intermediate calculations and your final answer to lans to produce 640,000 units of finished product in the three-month period ending September 30, and to have raw-material inv tory in units of finished product is 85 percent of the next month’s estimated sales. There are 246,500 finished units in inventory s and your final answer to the nearest unit.) nd 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. Co finished units in inventory on June 30. Each unit of finished product requires 3 pounds of raw material at a cost of $1.45 per po of the use in that period. Compute the total estimated cost of raw-material purchases for the entire three-month period ending S ial at a cost of $1.45 per pound. There are 880,000 pounds of raw material in inventory on June 30. hree-month period ending September 30.