For the carnival in Rio de Janeiro 2021, a North American company was hired to manufacture the
Question:
For the carnival in Rio de Janeiro 2021, a North American company was hired to manufacture the giant dolls that the main parade will require. Ace Novelty, was the company that won the requisition and received the order to produce 900 giant pandas, 1,200 Saint Bernard dogs and 2,000 large birds. Ace's management decided that 500 pandas, 800 dogs and 1,300 birds could be manufactured at its Los Angeles plant and the remainder of the order could be placed at the Seattle plant. Each panda requires 1.5 square yards of plush, 30 cubic feet of padding, and 5 pieces of trim; Each dog requires 2 square yards of plush, 35 cubic feet of stuffing, and 8 pieces of trim, and each bird requires 2.5 square yards of plush, 25 cubic feet of stuffing, and 15 pieces of trim. Plush is $ 4.50 per square yard, stuffing is $ 0.10 per cubic foot, and trim pieces are $ 0.25 per unit.
A management assistant performed some calculations and ordered 8,700 square yards of terry to be purchased and 5,600 to be distributed to Los Angeles and the remainder to the Seattle plant. He ordered himself 120,000 cubic feet of landfill purchased and 70,000 shipped to Los Angeles. 50,000 were the pieces of decoration that he requested and will send 30,000 to Los Angeles. The general manager notices an inconsistency in the order of materials and hires you to take charge of the project, for which he asks you
a) There should be no waste of material, so the exact quantities must be requested
b) Calculate the exact quantity of each type of material that must be purchased for each plant
c) Calculate the total cost of the materials used in each plant
d) Calculate the total cost of the materials used by the company to cover the order
e) Determine if what was done by the assistant is correct,
If you do not do so, you must call the supplier and indicate the missing quantities of each material or, failing that, cancel what does not correspond. The assistant presented her analysis ordered in tables and performing certain calculations to find what was requested. When hiring you, you are expected to present the most professional information and using matrices and their operations as ideal tools to understand and order the entire process.
Ethical Obligations and Decision Making in Accounting Text and Cases
ISBN: 978-0077862213
3rd edition
Authors: Steven Mintz, Roselyn Morris