Suppose kitchen manufactures cast iron skillets. one model is a 10-inch skillet that sells for $36. kitchen projects sales of 550 10-inch skillets per month. the production costs are $8 per skillet for direct materials, $3 per skillet for direct labor, and $5 per skillet for manufacturing overhead. kitchen has 45 10-inch skillets in inventory at the beginning of july but wants to have an ending inventory equal to 40% of the next month's sales. selling and administrative expenses for this product line are $1,800 per month. kitchen has budgeted cost of goods sold of $8,800 for july. compute the budgeted gross profit for july.
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Suppose kitchen manufactures cast iron skillets. one model is a 10-inch skillet that sells for $36...
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