Solution-What is the minimum acceptable price of the job

What is the minimum acceptable price of the job

Assignment Help Cost Accounting

Reference no: EM132738920

Yardley Co. has considerable excess manufacturing capacity. A special job order's cost sheet includes the following applied manufacturing overhead costs:

Variable costs P56,250

Fixed costs 45,000

Problem 1: The fixed costs include a normal P6,800 allocation for in-house design costs, although no in-house design will be done. Instead, the special job will require the use of external designers costing P13,750. What is the minimum acceptable price of the job?

A. P63,050 C. P101,250

B. P70,000 D. P108,200

Reference no: EM132738920

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What is the minimum acceptable price of the job

Reference no: EM132738920

Reference no: EM132738920

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