Illustrate what is the lowest price per unit backwoods

Assignment Help Financial Accounting

Reference no: EM13128342

Backwoods Incorporated manufactures rustic furniture. The cost accounting system estimates manufacturing costs to be $80 per table, consisting of 70% variable costs and 30% fixed costs. The company has surplus capacity available. It is Backwoods' policy to add a 50% markup to full costs.

a. Backwoods Incorporated is invited to bid on an order to supply 100 rustic tables. What is the lowest price Backwoods should bid on this one-time-only special order?

b. A large hotel chain is currently expanding and has decided to decorate all new hotels using the rustic style. Backwoods Incorporated is invited to submit a bid to the hotel chain. What is the lowest price per unit Backwoods should bid on this long-term order?

Reference no: EM13128342

Questions Cloud

Statements concerning changes : Which of the following statements is correct concerning changes from year 1 to year 2 at Tripe Corp?

Essay focus: a personal experience : Essay Focus: A personal experience that highlights the importance of international education at Eastern Illinois University.

What is it''s reaction, single, or double replacement : What is the balanced equation for copper (II) hydroxide + acetic acid (HC2H3O2)? and what is it's reaction, single, or double replacement.

Partial differentiation and chain rule : The problem states: Find dw/dt (a) using the appropriate chain rule and (b) by converting w to a function of t before differentiating.

Illustrate what is the lowest price per unit backwoods : A large hotel chain is currently expanding and has decided to decorate all new hotels using the rustic style. Backwoods Incorporated is invited to submit a bid to the hotel chain. Illustrate what is the lowest price per unit Backwoods should bid o..

Find how small must standard deviation be : If the manufacturer wants to keep the mean at 12.8 ounces but adjust the standard deviation so that only 2% of the bags weigh less than 12 ounces, how small must that standard deviation be?

Information about directional derivatives : Is there a vector r such that the directional derivative of f at (1,1,0) in the direction of r equals 1? If there is, find one such vector. If not, explain why not.

The garden party : To what extent does "The Garden Party" appear to embody feminist values?

What is the molecular formula of chloral hydrate : Chloral hydrate, a sedative, contains C 14.52%, H 1.83%, Cl 64.30%, and O 19.35%. If it has a molar mass of 165.42 g, what is the molecular formula of chloral hydrate?

User Account

All Pages