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Question - SaskAlloy produces a certain type of metallic magnet which is used in making door buzzers. SaskAlloy forecasts a sale of 2,000,000 units of this magnet for 2021. The sale price of the magnet is $3 per unit. Producing each unit of magnet requires $0.6 in labor and $1.5 in material. SaskAlloy has calculated an overhead of $1,500,000 in fixed costs to produce the magnets. The mentioned fixed cost includes various lines including the cost of running a production line, depreciation of the production equipment, renting a warehouse, and transportation.
Calculate the profit margin if SaskAlloy reaches an agreement with its metal supplier to reduce the cost of raw material by 10%.
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Determine the correct December 31, 2011, inventory balance and, assuming that the errors were discovered after the 2011 financial statements were issued, analyze the effect of the errors on 2011 cost of goods sold, net income, and retained earnings. ..
The company actually produced 5,200 sleeping bags using 27,300 yards of material at a cost of $6.10 per yard. Compute the total materials variance
Davidson Corp. produces a single product: fireproof safety deposit boxes for home use. What was the sales price variance for the year
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