The grinding machines are potentially the constraint in the

Reference no: EM13607118

Broze Company makes four products in a single facility. These products have the following unit product costs:Products
                                        A      B        C           D
Direct materials          $14.70 $10.60 $11.40 $11.00
Direct labor                  19.80   27.80   34.00   40.80
Variable MOH                 4.70     3.10     3.00    3.60
Fixed MOH                   26.90    35.20   27.00   37.60
Unit product cost         $66.10 $76.70 $75.40 $93.00
Additional data concerning these products are listed below.Products
                                         A      B         C     D
Grinding minutes per unit 4.20 5.70     4.70      3.80
Selling price per unit     $76.50 $93.90 $87.80 $104.60
Variable selling cost/unit $2.60 $ 1.60 $ 3.70    $ 2.00
Monthly demand in units 4,400 4,400    3,400       2,400

The grinding machines are potentially the constraint in the production facility. A total of 54,000 minutes are available per month on these machines.
Direct labor is a variable cost in this company.Up to how much should the company be willing to pay for one additional minute of grinding machine time if the company has made the best use of the existing grinding machine capacity?

Reference no: EM13607118

Questions Cloud

Suppose 60 of the people in town will get exposed to flu in : suppose 60 of the people in town will get exposed to flu in the next month. if you are exposed and not inoculated then

Determine the acceleration of the mass center of the disk : a 4-in. diameter disk shown weigts 20 lb. the disk is released at rest when theta30 degrees and rolls down the curved

One-year treasury securities yield 395 the market : one-year treasury securities yield 3.95. the market anticipates that 1 year from now 1-year treasury securities will

C1500 muf and c2120 muf are connected in parallel and the : c15.00 muf and c212.0 muf are connected in parallel and the resulting combination is connected to a 9.00v battery.a

The grinding machines are potentially the constraint in the : broze company makes four products in a single facility. these products have the following unit product costsproducts

A normal shock wave exists in mach 2 stream of air having : a normal shock wave exists in mach 2 stream of air having temperature and pressure of 45degf and 30 psia respectively.

The mean number of animals in a forest of a certain variety : the mean number of animals in a forest of a certain variety is 40 and the standard deviation is 4. a random sample of

The constraint at dalbey corporation is time on a : the constraint at dalbey corporation is time on a particular machine. the company makes three products that use this

Ignoring the small amount of heat gained by the thermometer : 15-kg of aluminum contains .2 kg of water. initially the water and the cup have a common temperature of 18 degrees c.

User Account

All Pages