Homework Answers
| Relevant Cost | |
| Direct Materials | $ 27,968 |
| ($8*3496) | |
| Direct Labor | $ 13,984 |
| ($4*3496) | |
| Variable Overhead | $ 27,898 |
| ($19*0.42*3496) | |
| Aviodable Fixed Overhead | |
| ($19*0.58*1/4*3496) | $ 9,631 |
| Total | $ 79,482 |
| Correct Option: b | |
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Please show work. thank you Grand Limited currently produces a component of a product with the...
Please show work. thank you
Grand Limited currently produces a component of a product with the following per unit production costs: Direct materials $19.00 Direct labour 32.72 Overhead 19.66 Total production costs $71.38 Grand Ltd, currently manufactures these components in-house, averaging production of 27517 units each year. A supplier has approach the company offering to supply 27517 units each year at a cost of $54.09 each. 60% of the overhead is fixed and if Grand Ltd, purchases the components, then...
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to Current-Control for $32 per unit. To evaluate this offer,
Current-Control has gathered the following information relating to
its own cost of producing the switch internally:
Per
Unit
12,000 Units
per Year
Direct materials
$ 12
$144,000
Direct labour
10
120,000
Variable manufacturing overhead
3
36,000
Fixed manufacturing overhead, traceable
8*
96,000...
Troy Engines, Ltd., manufactures a variety of engines for use in heavy equipment. The company has...
Troy Engines, Ltd., manufactures a variety of engines for use in heavy equipment. The company has always produced all of the necessary parts for its engines, including all of the carburetors. An outside supplier has offered to sell one type of carburetor to Troy Engines, Ltd., for a cost of $40 per unit. To evaluate this offer, Troy Engines, Ltd., has gathered the following information relating to its own cost of producing the carburetor internally: Per Unit 15,000 Units Per...
(Please show calculations for study purposes) Troy Engines, Ltd., manufactures a variety of engines for use...
(Please show calculations for study purposes) Troy Engines, Ltd., manufactures a variety of engines for use in heavy equipment. The company has always produced all of the necessary parts for its engines, including all of the carburetors. An outside supplier has offered to sell one type of carburetor to Troy Engines, Ltd., for a cost of $35 per unit. To evaluate this offer, Troy Engines, Ltd., has gathered the following information relating to its own cost of producing the carburetor...
Troy Engines Ltd. manufactures a variety of engines for use in heavy equipment. The company has...
Troy Engines Ltd. manufactures a variety of engines for use in heavy equipment. The company has always produced all of the necessary parts for its engines, including all of the carburetors. An outside supplier has offered to produce and sell one type of carburetor to Troy Engines Ltd. for a cost of $107.0 per unit. To evaluate this offer, Troy Engines Ltd. has gathered the following information relating to its own cost of producing the carburetor internally: $ Direct materials...
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Troy Engines Ltd. manufactures a variety of engines for use in heavy equipment. The company has always produced all of the necessary parts for its engines, including all of the carburetors. An outside supplier has offered to produce and sell one type of carburetor to Troy Engines Ltd. for a cost of $99.0 per unit. To evaluate this offer, Troy Engines Ltd. has gathered the following information relating to its own cost of producing the carburetor internally: Per 39,000 Units...
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Please show work. thank you
Grand Limited currently produces a component of a product with the following per unit production costs: Direct materials $19.00 Direct labour 32.72 Overhead 19.66 Total production costs $71.38 Grand Ltd, currently manufactures these components in-house, averaging production of 27517 units each year. A supplier has approach the company offering to supply 27517 units each year at a cost of $54.09 each. 60% of the overhead is fixed and if Grand Ltd, purchases the components, then...
Current-Control Inc. manufactures a variety of electrical
switches. The company is currently manufacturing all of its own
component parts. An outside supplier has offered to sell a switch
to Current-Control for $32 per unit. To evaluate this offer,
Current-Control has gathered the following information relating to
its own cost of producing the switch internally:
Per
Unit
12,000 Units
per Year
Direct materials
$ 12
$144,000
Direct labour
10
120,000
Variable manufacturing overhead
3
36,000
Fixed manufacturing overhead, traceable
8*
96,000...
Troy Engines Ltd. manufactures a variety of engines for use in heavy equipment. The company has always produced all of the necessary parts for its engines, including all of the carburetors. An outside supplier has offered to produce and sell one type of carburetor to Troy Engines Ltd. for a cost of $107.0 per unit. To evaluate this offer, Troy Engines Ltd. has gathered the following information relating to its own cost of producing the carburetor internally: $ Direct materials...
Troy Engines Ltd. manufactures a variety of engines for use in heavy equipment. The company has always produced all of the necessary parts for its engines, including all of the carburetors. An outside supplier has offered to produce and sell one type of carburetor to Troy Engines Ltd. for a cost of $99.0 per unit. To evaluate this offer, Troy Engines Ltd. has gathered the following information relating to its own cost of producing the carburetor internally: Per 39,000 Units...
Troy Engines, Ltd., manufactures a variety of engines for use in heavy equipment. The company has always produced all of the necessary parts for its engines, including all of the carburetors. An outside supplier has offered to sell one type of carburetor to Troy Engines, Ltd., for a cost of $34 per unit. To evaluate this offer, Troy Engines, Ltd., has gathered the following information relating to its own cost of producing the carburetor internally: Per Unit $ 9 11...
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