Use the Information Below to Answer the Following Question(s)

question 186

Multiple Choice

Use the information below to answer the following question(s) .Raynor Manufacturing purchases trees from Tree Nursery and processes them up to the splitoff point, where two products (paper and pencil casings) are obtained.The products are then sold to an independent company that markets and distributes them to retail outlets.The following information was collected for the month of October.Trees processed:
50 trees (yield is 30,000 sheets of paper and 30,000 pencil casings and no scrap)
Cost of purchasing 50 trees and processing them up to the splitoff point to yield 30,000 sheets of paper and 30,000 pencil casings is $1,500.Raynor Manufacturing's accounting department reported no beginning inventories; however, ending inventory amounts reflected 1,000 sheets of paper in stock.
-What is the paper's sales value at the splitoff point?

• A)$120
• B)$1,160
• C)$1,200
• D)$1,950
• E)$3,000

Distinguish different inventory types (e.g., cycle inventory, safety inventory) and their roles in supply chain management.

Comprehend the effects of demand forecast accuracy and aggregation on inventory management.

Identify the factors influencing the appropriate level of safety inventory and understand the trade-offs involved.

Understand the mechanisms of inventory review policies (e.g., continuous review, periodic review) and their impact on inventory levels and order patterns.

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Definitions:

Norms

Shared guidelines or rules of behavior that dictate what is considered proper or improper within a group or society.

Core Features

Essential characteristics or attributes that define a concept, object, or phenomenon.

Virtual Team

A group of individuals who work together from different geographic locations, relying on digital communication technologies.

Superordinate Goals

Objectives that require the cooperation of two or more individuals or groups to achieve, which can help to reduce conflict and increase collaboration.