User Account

All Pages

What will be the affect on profit if lrv accepts

Assignment Help Managerial Accounting
Reference no: EM13956709

Flamingos to Go is a service company owned by Irvin Vonnet that will plant plastic flamingos on a special day in people's yards to help celebrate and advertise birthdays, births, anniversaries, and other important milestones. The average delivery is priced at $65.The costs of providing 775 deliveries in the past year were:

Direct labor .......................$12,400
Variable overhead.....................$8,525
Fixed overhead (advertising costs, phone service, and insurance).17,000
Total cost.........................$37,925
At the start of the current year, lrv received a phone call from the local Rotary club. The club would like to contract with Flamingos to Co to have flamingos delivered to the yards of each of its member in the upcoming year; this contract would provide an additional 130 deliveries for Flamingos to Co. However, the club wants a special price since it is ordering a large number of deliveries; it has said it would like a price of $55 per delivery. Flamingos to go can make up to 1,000 deliveries per year without incurring additional fixed costs.

Required:

What will be the affect on profit if lrv accepts the special order?

Reference no: EM13956709

Questions Cloud

Markup of each item is important in calculating sale price : The production cost and the markup of each item is important in calculating the sale price. Sheila acts as if she was the manager, but we know she is not. The committee are reconsidering their decision in view of recent health care legislation. My al..
Use the following matlab commands : By experimenting, in Matlab -- or by hand -- with different matrices, determine the relationship between the singular values of a matrix and its Hilbert-Schmidt norm.  Bonus:  prove that the relationship you found is correct.  Hint:  use the followin..
Consistent use of subject-voice and mood : Select the sentence with the consistent use of subject, voice, and mood.
Existing of conflicts between functional areas : A job advertisement that generates 1,000 responses is always better than one that gets twenty responses.” Build an argument supporting this statement and an argument against this statement. Mustafa, the OD consultant for your company has just diagnos..
What will be the affect on profit if lrv accepts : What will be the affect on profit if lrv accepts the special order?
Assuming that firms costs for employee benefits : Assuming that a firm's costs for employee benefits are 38 percent of payroll, why doesn't the firm just let the union determine the manner in which the amounts are apportioned to various benefits such as insurance , holidays, and vacations without ne..
Prefer centralized bargaining : What are some situations in which management or the union would prefer centralized bargaining? In what situation might both prefer centralized bargaining? Discussion should take into account specific legal considerations affecting centralized bargain..
Where tr(a) is the trace of a : For A, B ∈ Mn(F) and s ∈ F, show that: i) tr(A + B) = tr(A) + tr(B); ii) tr(sA) = s⋅tr(A); and iii) tr(AB) = tr(BA), where tr(A) is the trace of A.
Differences between reactive-planning inventory logistics : Analyze the differences between reactive and planning inventory logistics by explaining the major advantages and implications of each strategy.

Reviews

Write a Review

Managerial Accounting Questions & Answers

  What steps should she conside

What steps should she consider?

  The following information was available for the year ended

The following information was available for the year ended December 31, 2013:

  Current liabilities from cash and cash equivalents

pay its current liabilities from cash and cash equivalents

  Determine the cost of preparing one batch of 100 pieces

Unit- and Batch-Level Cost Drivers. How much will the batch costs increase if the government raises the minimum wage to $10 per hour?

  Toni had worked as an apprentice baker in a large bakery

toni had worked as an apprentice baker in a large bakery that supplied different types of bread - from the standard

  Compute the missing amounts and prepare firms july report

a. Direct material is added at the beginning of the production process, and conversion activity occurs uniformly throughout the process.b. The company uses weighted-average process costing.c. The July 1 work in process was 30 percent complete as to c..

  Prepare stockholders equity section-holman hotel corporation

Journalize the transactions - prepare the stockholders' equity section assuming the company had retained earnings of $200,000 at December 31, 2008.

  Asignacioacuten individual t3ai 2 relevant costratios

asignacioacuten individual t3ai 2 relevant costratios analysis1. the current ratio for a company with current assets of

  Cost volume profit of procter and gamble company

Procter & Gamble Company is a Cincinnati-based company that produces household products under brand names such as Gillette, Bounty, Crest, Folgers, and Tide. The company's 2006 income statement showed the following (in millions):

  Which department has the greatest departmental contribution

Which department has the greatest departmental contribution to overhead and what is the amount contributed?

  Maximize spencers monthly commissions

What client mix will maximize Spencer's monthly commissions, assuming he works 200 hours per month - what are the activity - cost driver rates for the supervision of direct labor, machine maintenance, and facility rent.

  Advises the payroll department

The payroll bank account is reconciled by the chief accountant, who also prepares the several quarterly and annual tax reports.

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