Question

6. An open-to-buy report was prepared on August 5 for a linen de partment. The following information was provided: August BOM
0 0
Add a comment Improve this question Transcribed image text
Answer #1
OTB Calculation
Particular Amount
EOM $325000
Add (sales - markdown) $120550
Total $445550
Less - BOM ($316000)
Less - purchase received ($46000)
Planned purchase $83550
Less - outstanding orders $187000
OTB ($103450)

Since OTB is negative, it means excess bought already.

Add a comment
Know the answer?
Add Answer to:
6. An open-to-buy report was prepared on August 5 for a linen de partment. The following...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • 5. An open-to-buy report was prepared on January 15. The following information was provided: January BOM...

    5. An open-to-buy report was prepared on January 15. The following information was provided: January BOM January EOM January sales January markdowns January 5-12 purchases received January outstanding orders Determine the January ОTB. $ 86,000 $104,000 $ 52,000 $ 10,500 $ 11,000 $ 6,000 With the amount of merchandise on order, and noting that this open to buy has been prepared on the 15th, what concerns might a buyer face after reviewing these figures?

  • 9. Chrissy's Campus started August 1 at $65,000. This amount was $8,000 over the planned BOM...

    9. Chrissy's Campus started August 1 at $65,000. This amount was $8,000 over the planned BOM stock figure. When the merchandise manager reviewed the purchase journal, he told the buyer to cancel orders to avoid being overbought. Look at the following figures and determine how much Chrissy's Campus would be overbought if the buyer does not cancel any orders. Planned BOM $57,000 Actual BOM $65,000 Planned sales $32,000 Planned markdowns $ 6,500 Planned EOM $48,000 Purchases on order $31,500 Would...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT