Production forecast
sophie_612
LondonRegistered Posts: 132
Hi,
I'm hoping someone can please help me, on the attached picture i can work out the closing inventory etc but i cant see to get the same figures as the answers for rejected production.
thanks
Sophie
I'm hoping someone can please help me, on the attached picture i can work out the closing inventory etc but i cant see to get the same figures as the answers for rejected production.
thanks
Sophie
0
Comments

Kind Regards,
Norvydas Valavicius.0 
Hi, sorry i should of said they are the correct answersNorvydas said:@sophie_612
Are the answers highlighted are correct or incorrect?0 
@sophie_612
Ok so the workings for Week 1 are; Total Manufactured units 74,674. The note says that 8% of the units fails production process & are rejected by quality inspector. Therefore this means that we've produced 74,674 but out of the 74,674 units 8% of them have been rejected. 74,674 x 0.08 = 5,974 (Rounded up).
Exactly the same process for rest of the weeks.Kind Regards,
Norvydas Valavicius.0 
thank you so much for your help, but the total manufactured units are not given in the actual question, how do you work that out?Norvydas said:@sophie_612
Ok so the workings for Week 1 are; Total Manufactured units 74,674. The note says that 8% of the units fails production process & are rejected by quality inspector. Therefore this means that we've produced 74,674 but out of the 74,674 units 8% of them have been rejected. 74,674 x 0.08 = 5,974 (Rounded up).
Exactly the same process for rest of the weeks.0 
Ah sorry, I couldn't see the whole question and I thought the total manufactured units were given! Sorry.
Ok so to work them out you need to look at the total units produced for Week 1, which is 68,700. This is the units that has been produced for the period already. The note says that 8% of units produced has been rejected, well we can see that there has been 68,700 units already produced, this figure actually represents 92% of total production (100%8%). This is because, 8% has been already rejected, and we still managed to produce 68,700. Therefore to find total unit production we do; 68,700/92*100=74,674 and this figure represents TOTAL unit production for Week 1.
Now you can either times the 74,674 by 8% or simply deduct 74,674 from 68,700 and in either case you will get same amount of rejected units.Kind Regards,
Norvydas Valavicius.0 
Your good production is said to be 68700
We have been told that 8% is rejected, therefore the 68700 must be 92%
68700/92x8=rejected units
Remember good production + rejects =100% productionAAT Level 2. 2018 Distinction
AAT Level 3. 2018 Distinction
AAT Level 4. 2019 FSLC 100% MABU 93% MADC 82% PDSY 80%
Xero Certified Advisor0 
thank you both so much for your help0

Hey how do I figure out the good production?? Anyone help, having a mind blank.
Thanks,0