Obviously safety and quality are important features of air

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Reference no: EM13590958

(a) Using the existing scheme, determine the overhead application rate and price for Flights A, B, and C.

(b) Is "job" costing appropriate for a "nonmanufacturing" business like Wild Country?

(d) Using engine hours to allocate overhead, and classifying pilot salaries as direct labor and fuel as a direct materials cost, prepare a revised pricing schedule for the three flights (continue to assume that flights are priced at 125% of cost).

(e) If pricing is revised as described in part (d), what is the likely result on profits?

(f) If Vinita indicates that she wishes to build a "lean" organization, to what is she generally referring?

(g) Obviously, safety and quality are important features of air transport. If Vinita embraces "six sigma" concepts, what is her general objective for Wild Count?

Reference no: EM13590958

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