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Business, 19.05.2020 19:06 musdaher

Suppose Kitchen Professional manufactures cast iron skillets. One model is a 10-inch skillet that sells for $ 32. Kitchen Professional projects sales of 600 10-inch skillets per month. The production costs are $ 13 per skillet for direct materials, $ 4 per skillet for direct labor, and $ 5 per skillet for manufacturing overhead. Kitchen Professional has 60 10-inch skillets in inventory at the beginning of July but wants to have an ending inventory equal to 25% of the next month's sales. Selling and administrative expenses for this product line are $ 1 comma 900 per month. How many 10-inch skillets should Kitchen Professional produce in July?

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