For the next six months, Kurtz Company projects the following information (in un
ID: 2388323 • Letter: F
Question
For the next six months, Kurtz Company projects the following information (in units).July Aug. Sept. Oct. Nov. Dec.
Retail demand 800 300 450 450 600 600
Dealer demand 600 750 900 1,050 1,200 1,350
Shop capacity 1,500 1,500 1,500 1,500 1,500 1,500
Painting capacity 1,050 1,050 1,350 1,800 1,800 1,800
Demand drives production for that month and cannot be carried over from one month to another. Retail customers are satisfied first.
25. The production for July is projected to be:
A) 300 units.
B) 900 units.
C) 1,050 units.
D) 1,500 units.
26. The number of dealer units that will be produced and sold in September is:
A) 900 units.
B) 1,050 units.
C) 1,500 units.
D) 600 units.
Explanation / Answer
For the next six months, Kurtz Company projects the following information (in units).
July Aug. Sept. Oct. Nov. Dec.
Retail demand 800 300 450 450 600 600
Dealer demand 600 750 900 1,050 1,200 1,350
Shop capacity 1,500 1,500 1,500 1,500 1,500 1,500
Painting capacity 1,050 1,050 1,350 1,800 1,800 1,800
Demand drives production for that month and cannot be carried over from one month to another. Retail customers are satisfied first.
25. The production for July is projected to be:
A) 300 units.
B) 900 units.
C) 1,050 units.
D) 1,500 units.
answer B) Retail demand 300 + Dealer demand 600 = 900 units
26. The number of dealer units that will be produced and sold in September is:
A) 900 units.
B) 1,050 units.
C) 1,500 units.
D) 600 units.
Painting capacity 1,050 - Retail demand 450 = 600 units