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 2 Powell Dentistry Services operates in a large metropolitan area. Currently Powell has its own dental laboratory to produce porcelain and gold crowns. The unit costs to produce the crowns are as follows: Porcelain Gold Raw materials $ 55 $ 94 Direct labour 22 22 Variable overhead 5 5 Fixed overhead 25 25 $ 107 $ 146 Fixed overhead is detailed as follows: Salary (supervisor) $24,000 Amortization 5,000 Rent (lab facility) 26,000 Overhead is applied on the basis of direct labour hours. The unit costs above were computed using 5,500 direct labour hours. A local dental laboratory has offered to supply Powell all the crowns it needs. Its price is $100 for porcelain crowns and $132 for gold crowns; however, the offer is conditional on supplying both types of crowns-it will not supply just one type for the price indicated. If the offer is accepted, the equipment used by Powell's laboratory would be scrapped (it is old and has no market value), and the lab facility would be closed. Powell uses 1,500 porcelain crowns and 1,000 gold crowns per year. Required: 1. Should Powell continue to make its own crowns or should they be purchased from the external supplier? What is the dollar effect of purchasing? [4 marks] 2. What qualitative factors should Powell consider in making this decision? [2 marks] 3. Suppose that the lab facility is owned rather than rented and that the $26,000 is amortization rather than rent. What effect does this have on the analysis in Requirement 1? [2 marks
1.which one statement is true?a. one of the lessons learned from activity based costing is that all costs are really a
find the net present value npv and profitability index pi of a project that costs 1500 and returns 800 in year one and
Key information for the Plant City Division
hooper inc. had the following production and cost information for its painting department during april materials are
Zootsuit Inc. makes travel bags that sell for $56 each. For the coming year, management expects fixed costs to total $320,000 and variable costs to be $42 per unit. Compute the following: (a) break-even point in dollars using the contribution ..
capital budgeting emphasizes the key role management has in value creation by taking projects and expanding the size of
Quality of information that assures users that information represents the economic phenomena that it purports to represent and information about an economic phenomenon that corrects past or present expectations based on previous evaluations.
If Lincoln Bank eliminated its compensating-balance requirement, would your answer change?
for this question use the information for sports baseballs inc. sports baseballs inc. is a corporation that
waupaca company establishes a 310 petty cash fund on september 9. on september 30 the fund shows 43 in cash along with
Prepares a deposit slip and takes the cash to the bank.
interfund premiums actuarial estimates from previous fiscal year to determine necessary to establish a reserve for
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