Board-boomerz manufactures retro board games the company is, Ask an Expert

Management Studies

Board-Boomerz manufactures retro board games. The company is going through its annual budgeting process. Using the following data, determine the $ Amount that must be budgeted for Direct Materials, Direct Labor, and Factory Overhead. How much will Board-Boomerz spend to meet the Production Budget?

Projected Sales: 1,250,000 games

Inventory Buffer Required: 100,000

Finished Goods Inventory: 68,000

DM Inventory Buffer Required: 70,000 parts

DM Current Inventory: 65,000 parts

DM = 7 parts / game

DM$ = $2.25 / part

DL = 20 minutes per part

DL$ = $21.75 / hour

Factory Overhead is Allocated at $1.10 per game

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M91643463

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