User Account

All Pages

What is the highest price per unit that Spahr Company pay

Assignment Help Accounting Basics
Reference no: EM132566624

Question - Spahr Company produces a part that is used in the manufacture of one of its products. The unit manufacturing costs of this part, assuming a production level of 5,000 units, are as follows:

Direct materials $2.00

Direct labour $4.00

Variable manufacturing overhead 4.00

Fixed manufacturing overhead $1.00

Total cost $11.00

The fixed overhead costs are unavoidable.

Assuming no other use for its facilities, what is the highest price per unit that Spahr Company should be willing to pay for the part?

a. $10

b. $8

c. $12

d. $6

Reference no: EM132566624

Questions Cloud

Solve monthly break-even sales for new product : Calculate the monthly break-even sales for the new product in units if the company operates only in its own plant, that is, it manufactures.
Creating and communicating fully developed argument : This assignment is about creating and communicating a fully developed argument.
Calculate the value of the bonds at each of the years : What if the annual dividend growth rate is expected to decrease to 9%? Calculate the value of the bonds at each of the following years to maturity.
Playing catch in a neighbor yard : A few minutes ago, I saw two boys playing catch in a neighbor's yard. They must have thrown the ball through the window.
What is the highest price per unit that Spahr Company pay : Assuming no other use for its facilities, what is the highest price per unit that Spahr Company should be willing to pay for the part
Prepare the incremental analysis for the decision : Schopp Inc. has been manufacturing its own shades, Prepare the incremental analysis for the decision to make or buy the lamp shades.
American government forum : Even though constitutional amendments are rare, there's often talk in America about changing the United States Constitution.
Born a Crime by Trevor Noah : Read the book "Born a Crime by Trevor Noah". This is an easy to read, interesting book by Trevor Noah, host of Comedy Central's Daily Show.
What should Cruise Company do : The facilities currently used to make the part could be rented out to another manufacturer for $24,000 a year, what should Cruise Company do

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd