Enabled: Test 4 - Chapters 23-24 & Comprehensiv... Saved A company produces two surfboard models: Mellow and Crush. Each model's selling price and variable costs follow. Machine hours per unit for Mellow is 8 hours and for Crush is 12 hours. The machine's capacity is 3,048 hours per year. Selling price per unit Mellow $ 332 Crush $ 436 Variable costs per unit 196 292 19 a) For each model, compute the contribution margin per machine hour. Contribution margin per unit Mellow Crush Contribution margin per machine hour b) Assuming the company can sell up to 300 units of Mellow and 200 units of Crush per year, determine the best sales mix of products. Units produced and sold for most profitable sales mix Hours required to produce most profitable sales mix Mellow Crush Total Ac Graw < Prev 12 of 24 i Next > hp
Q: Wages Hours Gross Cumulative Social Employees Expense Regular Overtime Pay Earnings Unemployment…
A: The journal entry for recording the employer's payroll taxes on a hypothetical payroll involves…
Q: Please step by step answer.
A: Step 1: 1) Given that, Initial investment = $86,250 Cash flow per year = $29,500 Payback period =…
Q: The declaration and issuance of a stock dividend results in a reduction of the issuing corporation's…
A: A stock dividend is a dividend payment made in the form of additional shares rather than a cash…
Q: Year 1 July 1. Issued $75,000,000 of 10-year, 9% callable bonds dated July 1, Year 1, at a…
A: On July 1, Year 1, the company issued bonds and received cash. The journal entry would be: Debit:…
Q: The following data, in physical units, describe a grinding process for January:Work in process,…
A: Step 1: Calculate the total good units.Good units completed and transferred out: 132,000 unitsWork…
Q: stock for 565 per share. 37. A company has 20,000 shares of 10% $30 preferred stock outstanding. In…
A: To calculate the total amount the company owes to preferred shareholders in 2023, we need to find…
Q: Charger Company's most recent balance sheet reports total assets of $30,107,000, total liabilities…
A: Step 1: Introduction to the Debt-to-Equity Ratio:The debt-to-equity ratio is part of the leverage…
Q: 7. On January 3, Russet Corporation purchased 2,250 shares of the company's $3 par value common…
A: Step 1: Journal entry for the purchase of the treasury stock:DateAccount and…
Q: equired: Discuss the capital gain/loss for each of the assets, as well as the Net Capital Gain for…
A: 1.Among the shares of HOP Ltd.:The shares of HOP Ltd. were acquired by Brittney in June 2021 for a…
Q: help please answer in text form with proper workings and explanation for each and every part and…
A: Step 1: Define what the accounting equation isThe accounting equation defines a company's assets as…
Q: 16 Assume a company is preparing a budget for its first two months of operations. During the first…
A: Step 1: Since 60% of credit sales are collected in the month of sale and 35% in the following month,…
Q: R&R construction Limited supplies for April 2024 was: Construction Services $500,000 ( exempt…
A: Here's a detailed analysis of why the correct answer is 3. $325,050 and why the other options are…
Q: Limited liability for a company applies to: Select one: a. the shareholders b. the individual…
A: Limited liability is a type of legal structure for an organization where a person's financial…
Q: Question :8 A A company has net sales of $125,000, cost of goods sold of $50,000, operating expenses…
A: Step 1: Gross Profit can be calculated by subtracting the cost of goods sold from the net sales.…
Q: None
A: To find the contribution margin per machine-hour for a medium appliance, we need to calculate the…
Q: Answer please need help
A: Step 1: Introduction to the Cost of Goods Manufactured:The cost incurred in making the finished…
Q: Ida Sidha Karya Company is a family-owned company located in the village of Gianyar on the island of…
A: Step 1: COST PER UNIT UNDER DIFFERENT COSTING METHODS Variable costing Absorption costing Direct…
Q: Number 2: Using the interest rate tree below, find the correct price for a three-year, annual-pay…
A: To find the correct price for a three-year, annual-pay bond with a coupon rate of 5% using the given…
Q: Revise your calculations based the new information provided below and then answer the questions that…
A: 1) The Cash Flow Statement depicts the sources of cash balance with the company and the utilization…
Q: Ms. Berry is employed as an Accounts Manager in the Jamaican company ADM Limited. In 2022, she…
A: Superannuation contribution: $89,500.00National Insurance contribution: $12,500.00Monthly statutory…
Q: Elizabeth made taxable gifts of $6,700,000 in 2021 and $8,710,000 in 2023. She paid no gift tax on…
A: The federal gift tax is a tax on money or property that one living person gives to another. The IRS…
Q: Matthew and Kimberly Garfield invested $7,300 in a savings account paying 5% annual interest when…
A: Step 1:We have to calculate the total saved amount in the savings account on the 16th birthday. For…
Q: 5 [HD # GT 5. Which ratio determines the amount of a company's assets that are funded by borrowing?…
A: The debt-to-asset ratio is calculated by dividing a company's total debt by its total assets. This…
Q: Correct answer
A: The answer is B. EACH $1.00 OF ASSETS IN THE FIRM GENERATES $1.49 OF SALES REVENUE.In other words,…
Q: A company shows the following balances: Cost of goods sold $217,000 Income tax expense 33,600…
A: Step 1: Introduction to Sales Discount:When the commodities or merchandise is purchased, the seller…
Q: Pratt is ready to graduate and leave College Park. His future employer (Ferndale Corporation) offers…
A: First, we need to calculate the after-tax value for each option. This involves calculating the total…
Q: Which of the following statements is true? Differences between the static planning budget and the…
A: Statement 1: Differences between the static planning budget and the flexible budget show what should…
Q: 1. Rufiel Corporation purchased a new machine on January 1, 2023. The machine cost $300,000 and had…
A: The straight-line method of depreciation spreads the cost of the asset evenly over its useful life.…
Q: GDM Equipment, Inc. reported the following data for 2025: View the data. Compute GDM Equipment,…
A: The indirect method is one of two accounting treatments used to generate a cash flow statement. The…
Q: What accounting treatment is required by SFFAS 10 with respect to costs incurred by a federal agency…
A: Based on the table provided:For the Development Phase, the treatment alternates between "Expense,"…
Q: Nkansa Corporation granted restricted stock units (RSUs) representing 44 million of its $1 par…
A: Nkansa Corporation granted restricted stock units (RSUs) representing 44 million of its $1 par…
Q: 7. Charlotte Corporation has the following information pertaining to the purchase of a new piece of…
A: Approach to solving the question: Detailed explanation: Examples: Key references: General Finance
Q: Ans pls
A: Asset turnover ratio = net sales/average total assets. The numerator is net sales and denominator is…
Q: Unique Inc. produces brakes for the Jeep Car Company. At the beginning of the year, they had the…
A: To get the Direct Labour Rate Variance, we will compute it using the formula as follows: Direct…
Q: Q.1.2 RiverMax (Pty) Ltd produces three items, X, Y and Z, which it supplies to the local stores.…
A: To calculate the aggregate break-even units and sales for RiverMax (Pty) Ltd, we need to consider…
Q: Following are selected income statement data from Apple and Dell: Income Statement Apple ($) Dell…
A: Gross profit of Dell 11,671 divide: Sales of Dell 61,133 Gross profit as percentage…
Q: None
A:
Q: choose correct option
A: Step 1: Introduction to Acquisition Cost:Acquisition cost, often known as "book value" or "asset…
Q: Question 2. A company manufactures two products, X and Y, for which the following information is…
A: First, we need to calculate the total cost for each activity. The total cost for production setup is…
Q: The company uses the allowance method to write off bad debts. What entry will they make to write off…
A: Step 1: When a service is performed and the amount is expected to receive from the customer, service…
Q: You plan to establish a college education fund for your child. The current cost of college is…
A: Explanation:Part 1: First Deposit1. Project future college cost: o Year 18: $12,000 * 1.05 ^ 17…
Q: Please read carefully ( i need help )The general ledger of the Karlin Company, a consulting company,…
A: Step: 1However, I can guide you through the process of preparing the financial statements for Karlin…
Q: Candlewood LLC started business on September 1, and it adopted a calendar tax year. During the year,…
A: Step 1: Computation of Organizational Expenses. The first $5,000 of the total $9,500 incurred as…
Q: Entertainment Ltd. was established two years ago to capitalise on a market opportunity created by…
A: First, we need to calculate the total cost for each activity. This is done by adding the proportion…
Q: Gibson Educational Services had budgeted its training service charge at $75 per hour. The company…
A: Given Data, Budgeted Hours = 38,000 hours Actual Hours = 39,300 hours Budgeted Revenue per hour =…
Q: On January 1, 2024, Fanny Services granted 24 million of its $1 par common shares to executives,…
A: Calculation of Effect of Restricted Stock Units Effect of Restricted Stock Units per year =…
Q: 1.Loss is generally considered a tax relief and can be carried forward to the following trading year…
A: Here's how to calculate ABC Limited's loss relief for the year, considering the tax loss rules of…
Q: Question 36 7 pts Cinderella Company began 2023 with its accounts receivable, inventory, and prepaid…
A: First, we need to calculate the change in current assets and current liabilities from the beginning…
Q: Joseph, a 48-year-old South African resident, has been an employee of Pay Pick for several years. He…
A: Here's the breakdown of your questions about Joseph's tax situation:2.1 Due Date for the First…
Q: Direct write-off method Journalize the following transactions, using the direct write-off method of…
A: ACCOUNTING FOR BAD DEBTS Business entities sell on credit rather than only for cash to increase…
Step by step
Solved in 2 steps
- PROBLEM 1: MAKE or BUY Limos Mfg. has been manufacturing furniture sets and is considering whether tomake or outsource its own seat cushions needed for its chairs. The expected priceof the cushions is P50 per unit. If it continue to produce the company would incur the following unit cost: Directmaterials P13, Direct Labor P15, Variable overhead 5, Fixed overhead (based onthe average production requirement of 10,000 units) P20 for a total of P53. Let us assume that materials and labor costs are expected to increase by 20% nextperiod. Factory overhead costs will remain the same, except that 40% of the fixedoverhead will be eliminated in case the company decides to buy the seat cushionsfrom other suppliers. Moreover, the facilities presently being used in the manufactureof seat cushions can be utilized to manufacture another part of the main product incase such facilities become vacant when the company decides to stop producing theseat cushions. The alternative use of resources would…Vandenberg, Inc., produces and sells two products: a ceiling fan and a table fan. Vandenberg plans to sell 40,000 ceiling fans and 70,000 table fans in the coming year. Product price and cost information includes: Ceiling Fan Table Fan Price $56 $17 Unit variable cost $13 $8 Direct fixed cost $21,200 $43,000 Common fixed selling and administrative expenses total $98,000. Required: Question Content Area 1. What is the sales mix estimated for next year (calculated to the lowest whole number for each product)?Sales mix of ceiling fans to table fans = ___________ : ______________ 2. Using the sales mix from Requirement 1, form a package of ceiling fans and table fans. How many ceiling fans and table fans are sold at break-even? Round your intermediate calculations and final answers to the nearest whole number. Break-even ceiling fans _______ Break-even table fans ______ 3. Prepare a contribution-margin-based income…Question Help Answer the following questions. Required 1. Dalton Computers makes 5,500 units of a circuit board, CB76, at a cost of $280 each. Variable cost per unit is $160 and fixed cost per unit is $120. HT Electronics offers to supply 5,500 units of CB76 for $260. If Dalton buys from HT it will be able to save $20 per unit of fixed costs but continue to incur the remaining $100 per unit. Should Dalton accept HT's offer? Explain. 2. OK Manufacturing is deciding whether to keep or replace an old machine. It obtains the following information: E (Click the icon to view the information.) OK Manufacturing uses straight-line amortization. Ignore the time value of money and income taxes. Should OK replace the old machine? Explain. Requirement 1. Dalton Computers makes 5,500 units of a circuit board, CB76, at a cost of $280 each. Variable cost per unit is $160 and fixed cost per unit is $120. HT Electronics offers to supply 5,500 units of CB76 for $260. If Dalton buys from HT it will be…
- SOLVE STEP BY STEP IN DIGITAL FORMAT DONT USE CHATGPT The papelitos company manufactures and sells personalized thermoses. Currently, 10,000 units are sold per year at a price of $320 per unit. Fixed costs are $40,000 monthly. Variable costs are $210 per unitYou are asked to calculate the number of units that need to be sold per month to reach the break-even point.Interpret the resultCalculate the units you must sell per month to obtain a profit of $14,000 per month.Perform the respective verification of the two previous points.Tim-Buck-Il rents jet skis at a beach resort. There are three models available to rent: Junior, Adult, and Expert. The rental price and variable costs for these three models are as follows: The current product mix is 5:4:1. The three models share total fixed costs of $1 14,750 A. Calculate the sales price per composite unit. B. What is the contribution margin per composite unit? C. Calculate Tim-Buck-IIs break-even point in both dollars and units. D. Using an income statement format, prove that this is the break-even point.Vaughn, Inc. currently manufactures a wicket as its main product. Costs per unit are as follows: Direct materials and direct labor $11 Variable overhead Fixed overhead Total 5 8 $24 Saran Company has contacted Vaughn with an offer to sell it 6400 wickets for $18 each. Of Vaughn's $8 per unit fixed cost. $5 per unit is unavoidable. Should Vaughn make or buy the wickets and why? O Make because the cost savings is $12800 ◇ Buy because the cost savings is $6400 ○ Buy because the cost savings is $19200 ○ Make because the cost savings is $6400
- es Alpena Corporation manufactures smartphone and tablet cases. The following is the cost of each unit. $ 7.35 2.95 0.95 11.70 $ 22.95 Mc Graw Hill ! 1 Materials Labor Variable overhead Fixed overhead ($1,755,000 per year; 150,000 units per year) Total Decatur Devices has approached Alpena with an offer to buy 3,000 cases at a price of $17.80 each for its new specialty tablet designed for health care workers. The regular price of an Alpena case is $26.50. Alpena has the total capacity to produce 180,000 units without increasing its fixed overhead. Decatur Devices requires that each case use its branding, which requires a more expensive embossing step. This will result in an additional $2.85 per case labor cost. The material cost of of the Decatur case will be the same as for the current models. The Decatur order will also require a one-time rental of embossing equipment for $6,549. Q A Required: a. Prepare a schedule to show the impact of filling the Decatur Devices order on Alpena's…Jarred Manufacturing has a valve division that manufactures and sells a standard valve.Capacity in Units 100 000 unitsSelling Price to external customers R300Variable Costs per unit R160Fixed Costs (based on capacity) R90 per unitThe company has a Pump division that could use this valve in one of its pumps. The pump division is currently purchasing 10 000 valves per year from a German supplier at a cost of R290 per valve. Required;4.1 Assuming that the Valve Division has ample idle capacity to handle all of the Pump Division needs. What is the acceptable range, if any, for the transfer price between the two divisions? 4.2 Assuming that the Valve Division is selling all of its valves that it can produce to external customers. What is the acceptable range, if any, for the transfer price between the two divisions? 4.3 Assuming that the Valve Division is selling all of its valves that it can produce to external customers and that R30 in variable costs can be avoided on inter-division…Sheridan, Inc. currently manufactures a wicket as its main product. Costs per unit are as follows: Direct materials and direct labor $11 Variable overhead Fixed overhead Total 7 9 $27 Saran Company has contacted Sheridan with an offer to sell it 5400 wickets for $21 each. Of Sheridan's $9 per unit fixed cost, $5 per unit is unavoidable. Should Sheridan make or buy the wickets and why? O Make because the cost savings is $16200 O Make because the cost savings is $5400 O Buy because the cost savings is $10800 O Buy because the cost savings is $5400
- CVP application—eliminate product from operations? Muscle Beach, Inc.,makes three models of high-performance weight-training benches. Current operating data are summarized here: MegaMuscle PowerGym ProForceSelling price per unit $ 170 $ 220 $ 310Contribution margin per unit 51 77 62Monthly sales volume—units 4,000 3,000 1,000Fixed expenses per month Total of $468,000 Required:a. Calculate the contribution margin ratio of each product.b. Calculate the firm’s overall contribution margin ratio.c. Calculate the firm’s monthly break-even point in sales dollars.d. Calculate the firm’s monthly operating income.e. Management is considering the elimination of the ProForce model due to its low sales volume and low contribution margin ratio. As a result, total fixed expenses can be reduced to $420,000 per month. Assuming that this change would not affect the other models, would you recommend the elimination of the ProForce model? Explain your answer.f. Assume the same facts as in part e. Assume…FRANCORP sells two products. Products M N Selling price per unit $80 $60 Less variable expenses per unit $46 $40 Contribution margin per unit $34 $20 Current demand per week (units) 2,100 2,400 Processing time required on machine XYZ per unit 2 min. 1 min. Machine XYZ is a constrained resource and is being used at 100% capacity. Machine XYZ has a capacity of 3,000 minutes per week. Which product should FRANCORP focus on? a. Product N since it provides a contribution margin net benefit of $3 per minute b. Product N since it provides a contribution margin net benefit of $3.50 per minute c. Product M since it provides a contribution margin net benefit of $2.20 per minute d. Product M since it provides less contribution margin per minuteFRANCORP sells two products. Products M N Selling price per unit $80 $60 Less variable expenses per unit $46 $40 Contribution margin per unit $34 $20 Current demand per week (units) 2,100 2,400 Processing time required on machine XYZ per unit 2 min. 1 min. Machine XYZ is a constrained resource and is being used at 100% capacity. Machine XYZ has a capacity of 3,000 minutes per week. Assuming FRANCORP wants to maximize its total contribution margin, how much of each product should it produce? a. 2400 units of N and 300 units of M b. 300 units of N and 2100 units of M c. 1200 units of N and 1050 units of M d. 2400 units of N and 0 units of M