Business, 28.02.2020 21:55 ciera51

Mountain Corporation manufactures cabinets but outsources the handles. Eight handles are needed for a cabinet, with assembly requiring 30 minutes of direct labor per unit. Ending finished goods inventory is planned to consist of 50% of projected unit sales for the next month, and ending handles inventory is planned to be 80% of the requirement for the next month's projected unit output of finished goods.
Mountain's projected unit sales:
October
4,600
November
5,000
December
4,200
January
6,000
Mountain's ending inventories in units at September 30:
Finished goods
3,800
Handles
16,000

Question: 2 Given that a full-time employee works 160 hours per month, no overtime is allowed, and part-time employees may be used, how many full-time equivalent employees does Mountain need to assemble the output of finished units in November?
A. 14.375
B. 28.75
C. 15.625
D. 31.25
A. 14.375

Answers: 1

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Mountain Corporation manufactures cabinets but outsources the handles. Eight handles are needed for...

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