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Maplewood Company must decide whether to make or buy some of its components. The costs of...
Question 7 Maplewood Company must decide whether to make or buy some of its components. The costs of producing 61,000 switches for its generators are as follows. Direct materials Direct labour $30,500 42,090 Variable overhead Fixed overhead $57,950 60,390 Instead of making the switches at an average cost of $3.13 $190,930 = 61,000), the company has an opportunity to buy the switches at $2.93 per unit. If the company purchases the switches, all the variable costs and one-third of the...
Question 7 Maplewood Company must decide whether to make or buy some of its components. The costs of producing 61,000 switches for its generators are as follows. Direct materials Direct labour $30,500 42,090 Variable overhead Fixed overhead $57,950 60,390 Instead of making the switches at an average cost of $3.13 $190,930 = 61,000), the company has an opportunity to buy the switches at $2.93 per unit. If the company purchases the switches, all the variable costs and one-third of the...
Wilma Company must decide whether to make or buy some of its components. The costs of producing 63,800 switches for its generators are as follows. Direct materials $29,300 Variable overhead $44,200 Direct labor $30,634 Fixed overhead $82,800 Instead of making the switches at an average cost of $2.93 ($186,934 ÷ 63,800), the company has an opportunity to buy the switches at $2.74 per unit. If the company purchases the switches, all the variable costs and one-fourth of the fixed costs...
Blossom Company must decide whether to make or buy some of its components. The costs of producing 65,700 switches for its generators are as follows. Direct materials $31,000 Direct labor $34,229 Variable overhead $45,900 Fixed overhead $84,000 Instead of making the switches at an average cost of $2.97 ($195,129 = 65,700), the company has an opportunity to buy the switches at $2.71 per unit. If the company purchases the switches, all the variable costs and one-fourth of the fixed costs...
Wilma Company must decide whether to make or buy some of its components. The costs of producing 60,200 switches for its generators are as follows. Direct materials $29,500 Variable overhead $45,600 Direct labor $25,900 Fixed overhead $79,600 Instead of making the switches at an average cost of $3.00 ($180,600 = 60,200), the company has an opportunity to buy the switches at $2.74 per unit. If the company purchases the switches, all the variable costs and one-fourth of the fixed costs will be eliminated. Prepare...
Flint Company must decide whether to make or buy some of its components. The costs of producing 62,600 switches for its generators are as follows. Direct materials $29,000 Variable overhead $44,400 Direct labor $28,644 Fixed overhead $82,000 Instead of making the switches at an average cost of $2.94 ($184,044 ÷ 62,600), the company has an opportunity to buy the switches at $2.69 per unit. If the company purchases the switches, all the variable costs and one-fourth of the fixed costs...
Do It! Review 21-3 Wilma Company must decide whether to make or buy some of its components. The costs of producing 62,500 switches for its generators are as follows. Direct materials $29,700 Variable overhead $45,400 Direct labor$29,675 Fixed overhead $79,600 Instead of making the switches at an average cost of $2.95 ($184,37562,500), the company has an opportunity to buy the switches at $2.67 per unit. If the company purchases the switches, all the variable costs and one-fourth of the fixed...
PLEASE HELP! DUE IN FOUR HOURS ): Exercise 20-5 Pottery Ranch Inc. has been manufacturing its own finials for its curtain rods. The company is currently operating at 100% of capacity, and variable manufacturing overhead is charged to production at the rate of 69% of direct labor cost. The direct materials and direct labor cost per unit to make a pair of finials are $3.89 and $5.00, respectively. Normal production is 26,600 curtain rods per year. A supplier offers to...
Exercise 20-7 (Part Level Submission) Riggs Company purchases sails and produces sailboats. It currently produces 1,210 sailboats per year, operating at normal capacity, which is about 80% of full capacity. Riggs purchases sails at $254 each, but the company is considering using the excess capacity to manufacture the sails instead. The manufacturing cost per sail would be $93.39 for direct materials, $86.65 for direct labor, and $90 for overhead. The $90 overhead includes $78,400 of annual fixed overhead that is...
PRINTER VERSION BACK INEXT. De Review 21- Part Level Submission) Wilma Company must decide whether to make or buy some of its components. The cous produding .500 switches for its generators are as follows. Direct materials 130,700 Variable overhead $45,800 Director 21,150 od overhead R100 Instead of making the switches at an average cost of $200 (5181,250 - 62,5001, the company has an oportunity to buy the w s at 2.72 perust fourth of the fixed costs will be eliminated...