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Johnson Manufacturing incurs unit costs of $7.88 ($5.09 variable and $2.79 fixed) in making a sub-assembly part for its finished product. A supplier offers to make 12,600 of the assembly part at $5.54 per unit. If the offer is accepted, Johnson will save all variable costs but no fixed costs. Instructions: Prepare an analysis showing the total cost savings, if any, Johnson will realize by buying the part. Explain why Johnson Company should continue to make or buy the part.
What could explain Freda's willingness to spread her salary over a longer period of time?
gourley clinic uses client-visits as its measure of activity. during august the clinic budgeted for 3500 client-visits
Kelly is single. Her dependent child, Barbara, lives with her. After her divorce, Kelly was awarded the permanent custody of Barbara and has not agreed to waive her right to claim Barbara as a dependent. Kelly has the following items as income and..
Medical Instruments produces a variety of electronic medical devices. Compute the materials variances for silver tubing and comment on their meaning.
1. if a company purchases raw materials on account for 19830 when the standard cost is 18900 it willa. debit materials
A company had net income of $242,000. Depreciation expense is $26,000. During the year, accounts receivable and inventory increased $15,000 and $40,000, respectively. Prepaid expenses and accounts payable decreased $2000 and $4000, respectively. T..
the seneca childrens fund scf is a local charity that runs a summer camp for disadvantaged children. the funds board of
using securities worth $3 million, Daniel would like to create a trust, life estate to Marcia, remainder to her children. he is hesitant to do so because of the tax generationskipping transfers. write a letter to daniel advising him on this matter..
jake smith opened his balinese coffee shop business in downtown boise on january 1st 2010. on december 31st 2010 he sat
How will the development above affect the accounting for Commonwealth Edison's bond issue?
weinberg canning produces fi llet smoked salmon and salmon remnants in a single process. the same amount of disposal
thomas corporation recorded sales of 108300 during march. management expects sales to increase 5 in april another 2 in
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