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Use the following information for the next 3 questions.
(CMA) Table Top produces tables sold to discount stores. The table tops are manufactured in the U.S. by Table Top, but the table legs are manufactured in a plant in Nogales, Mexico. The assembly department attaches the four purchased table legs to the table top. It takes 20 minutes of labor to assemble a table. The company follows a policy of producing enough tables to insure that 40% of next month's sales are in the finished goods inventory. Table Top also purchases sufficient raw materials to insure that raw materials inventory is 60% of the following month's scheduled production. Table Top's sales budget in units for the next quarter is as follows:
-Assume that Table Top will produce 1,800 units in the month of September 20x5. How many employees will be required for the assembly department? (Fractional employees are acceptable since employees can be hired on a part-time basis. Assume a 40 hour work week and a 4 week month.)
After-Tax Lease Payment
The lease payment amount remaining after taxes have been deducted, reflecting the net cost to the lessee.
Tax Rate
The percentage at which an individual or corporation is taxed, which can vary depending on income level, type of income, or other factors.
CCA Class
Categories within the Capital Cost Allowance system that group assets with similar useful lives for the purpose of depreciation.
Resale Value
The estimated market value of an asset at the end of its useful life or lease term.
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