Homework Answers
Production Cost = 138000
Buying cost = (42000*3.7+70000*70%) = 204400
Difference = 204400-138000 = 66400
So answer is d) $66400 less than if the company bought the part
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#20 The cost of producing 42,000 paris $138,000, which includes fonds of 570.000 and variables of $60.000 The compan...
Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The...
Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The cost of producing 42,000 parts is $138,000, which includes fixed costs of $68,000 and variable costs of $70,000. The company can buy the part from an outside supplier for $3.50 per unit, and avoid 30% of the fixed costs. Assume that factory space freed up by purchasing the part from an outside source can be used to manufacture another product that can be sold...
#2 Blue Ridge Bicycles a standard part in the manufacture of veral of its bikes. The cost of producing 43.000...
#2
Blue Ridge Bicycles a standard part in the manufacture of veral of its bikes. The cost of producing 43.000 part avoid 30% of the fixed costs. 510,000, which includes forced costs of $73,000 and variable costs of $66.000. By outsourcing the part, the compartycat Blue Ridge Bicydes buys the part what is the most Blue Ridge Bicycles can spend per unit so that operating income equals the operating income from making the part? (Round the final to the nearestent)...
Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The...
Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The cost of producing 40,000 parts is $143,000, which includes fixed costs of $70,000 and variable costs of $73,000. The company can buy the part from an outside supplier for $3.70 per unit, and avoid 30 % of the fixed costs. Assume that factory space freed up by purchasing the part from an outside source can be used to manufacture another product that can be...
Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The...
Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The cost of producing 40,000 parts is $140,000, which includes forced costs of $72.000 and variable costs of $60,000. The company can buy the part from an outside supplier for $4.00 per unit, and avoid 30% of the food costs Assume that factory space freed up by purchasing the part from an outside source can be used to manufacture another product that can be sold...
#2
Blue Ridge Bicycles a standard part in the manufacture of veral of its bikes. The cost of producing 43.000 part avoid 30% of the fixed costs. 510,000, which includes forced costs of $73,000 and variable costs of $66.000. By outsourcing the part, the compartycat Blue Ridge Bicydes buys the part what is the most Blue Ridge Bicycles can spend per unit so that operating income equals the operating income from making the part? (Round the final to the nearestent)...
Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The cost of producing 40,000 parts is $143,000, which includes fixed costs of $70,000 and variable costs of $73,000. The company can buy the part from an outside supplier for $3.70 per unit, and avoid 30 % of the fixed costs. Assume that factory space freed up by purchasing the part from an outside source can be used to manufacture another product that can be...
Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The cost of producing 40,000 parts is $140,000, which includes forced costs of $72.000 and variable costs of $60,000. The company can buy the part from an outside supplier for $4.00 per unit, and avoid 30% of the food costs Assume that factory space freed up by purchasing the part from an outside source can be used to manufacture another product that can be sold...
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