Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Question - Martell Corp. (MC) produces a part {product X) that is an input to several of its product lines. Cost data on the production of product X is as follows:
Direct materials
$15
Direct labour
25
Variable overhead
20
Fixed overhead
60
$120
MC produces 12,000 units of product X each year (this is also the basis for ?xed overhead allocation). A supplier Ias offered to supply product X for $75 per unit. If MC ceases manufacturing product X internally, then it will be able to lay off a supervisor with a salary of $55,000 per year. The factory space used by product X will be used to increase the production and sales of product 2, which has a contribution margin of $35 per unit. Product Z's sales would then increase by 2,500 units per year.
Required -
a) Calculate the incremental benefit or cost of making product X internally as opposed to purchasing it from an external supplier.
b) Calculate at what price MC should be indifferent between purchasing product X from the external supplier and making product X internally.
The cost accountant for Angie's Apparel has compiled the following information for last month's operations:
If a manager was not concerned with the time value of money, from which two capital budgeting methods should the manager choose?
Using the weighted average method, what is the normal, full absorption cost per equivalent unit for March 2021 for the Welding Department
If the Backing Division is at capacity and decides to sell to the Tufting Division for $3.00 per square yard, what will be the effect on the company's profits?
What is the meant for managerial accountants? What are the challenges facing managerial accountants in the next two years? Provide the suitable example.
Find What was the company's net profit for the previous year? What will the new break-even point be if fixed costs increase by 10 per cent?
Find How much is the total cash flow net of income taxes in year 3? A corporation has provided the information below concerning a capital budgeting
A machine with a useful life of five years and a salvage value of $30000 was purchased for $130000. What is the depreciation expense for year
How do the responsibilities of chief executives compare to the responsibilities of other healthcare employees? Do these responsibilities warrant a substantially
He was supposed to pay $15,000 five months ago, but failed to do as he was short of cash. Find the size of the equal payments
What is your estimate of the current "contribution margins" for the three products. Show your calculations and explain them and how much higher or lower would the reported net income be under the ABC system than under the present system?
Determine the product cost of one unit: Direct Materials = $60; Direct labor = $10; Apply Overhead based on $2 per Direct Labor hour
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd