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 - GEM Limited has a single product Flicks. The company normally produces and sells 80,000 units of Flicks each year at a price of $240 per unit. The company's unit costs at this level of activity are as follow:
Direct material
$57.00
Direct labour
60.00
Variable manufacturing overhead
16.80
Fixed manufacturing overhead
30.00
Variable selling and administrative costs
10.20
Fixed selling and administrative costs
27.00
Total unit cost
$201.00
GEM has sufficient capacity to produce 100 000 units of Flicks a year without any increase in fixed manufacturing overhead.
Required -
(a) GEM has an opportunity to sell 10 000 units to an overseas customer. Import duties and other special costs associated with this order would total $42 000. The only selling costs that would be associated with the order would be a shipping cost of $9.00 per unit. What would be the minimum acceptable unit price for GEM to consider this order?
(b) The company has 200 units of Flicks on hand that were produced two months ago. Due to blemishes on the units, it will be impossible to sell these units at the normal price. If the company wishes to sell them through regular sales channels, what would be the relevant cost for setting the minimum price? Explain.
(c) "All future costs are relevant in decision making." Do you agree? Explain.
What should the role of the accountancy profession be in relation to audit reform. What are the tensions around this
Budgeted Direct-labor hours 20,000. If 21,000 direct labor hours are used, calculate the amount of allocated manufacturing overhead
salt co. is considering investing in a new facility to extract and produce salt. the facility will increase revenues by
Ullman Company's payroll taxes are: FICA 8%, state unemployment 2.5% (due to a stable employment record), and 0.8% federal unemployment. Gross earnings subject to FICA taxes total $370,000, and gross earnings subject to unemployment taxes total $90,0..
What is the book value of the equipment at the end of 2008 under each method? Compute the depreciation expense for the years 2008 through 2010, using the straight-line method.
What are the issues related to goodwill valuation when comparing partnerships formation with companies consolidations?
What is the annual Schedule M1(M3) adjustment for each year during the first 15 years of the amortization period
hurst mats manufactures custom replacement floor mats for automobiles. the floor mats are made of spun nylon on highly
Beta of 1.2. The risk-free rate of return is 2.0% and the expected return on the market is 11.9%. What is the expected return on the share?
Using the weighted-averages method, summarize the total Drying and Packaging department costs for week 37, and assign total costs to units completed
Do you think Evan actions were justified? What internal control activities could the fraternity have implemented in order to prevent Evan actions?
Roulette. An observer at the roulette wheel in Monte Carlo notices that there seems to be no pattern to the num- bers that come up during an entire evening. Is this an ex- ample of special- or common-cause variation? Explain.
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