On January 1, Bandy Manufacturing Plans to Introduce a Product

question 80

Multiple Choice

On January 1, Bandy Manufacturing plans to introduce a product called Handy Dandy. The company plans to sell each unit of Handy Dandy for $25.00. Management has forecast the following in sales units for the first three months.
Each unit of Handy Dandy requires 2 kg of Dingaling and 1 hour of direct labour. Management wants to end each month with a Handy Dandy inventory level equal to 10 per cent of the following month's sales and a Dingaling inventory equal to 5 per cent of the following month's production. Dingaling can be purchased for $3 per kg and direct labour costs are estimated to be $5.00 per hour. How many units should Bandy Manufacturing produce in February?

• A) 32 000
• B) 27 300
• C) 28 000
• D) 29 200

---

Definitions:

Psychiatric Unit

A specialized hospital ward dedicated to the care and treatment of individuals with mental health conditions, staffed by mental health professionals.

Mental Health Assessment

A comprehensive evaluation, typically conducted by a qualified professional, to determine an individual's mental, emotional, and psychological well-being.

Advanced Practice Nurse

A registered nurse (RN) who has acquired expert knowledge base, complex decision-making skills, and clinical competencies for expanded practice.

Prescribe Medication

The act by a licensed medical professional to legally authorize the use of pharmaceutical drugs to a patient.