Relevant cost of making = (2.40+3+0.70+1.80)*2,300 = 18,170 Special order price = 2300*20 = 46,000 So, financial advantage = 46,000-18,170 = 27,830 |
Relevant cost = 1.80 (all other costs are sunk) |
Delta Company produces a single product. The cost of producing and selling a single unit of...
Delta Company produces a single product. The cost of producing and selling a single unit of this product at the company's normal activity level of 94,800 units per year is: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling and administrative expenses Fixed selling and administrative expenses $ 2.30 $ 3.00 $0.90 $ 4.45 $ 1.90 $ 2.00 The normal selling price is $22.00 per unit. The company's capacity is 114,000 units per year. An order has...
Delta Company produces a single product. The cost of producing and selling a single unit of this product at the company's normal activity level of 94,800 units per year is: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling and administrative expenses Fixed selling and administrative expenses $ 1.50 $ 3.00 $ 0.70 $ 4.05 $ 1.90 $2.00 The normal selling price is $19.00 per unit. The company's capacity is 128,400 units per year. An order has...
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Delta Company produces a single product. The cost of producing and selling a single unit of this product at the company's normal activity level of 94,800 units per year is: points Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling and administrative expenses Fixed selling and administrative expenses $ 2.30 $ 3.00 $ 1.00 $5.25 $ 1.40 $ 2.00 eBook Hint The normal selling price is $24.00 per unit. The company's capacity is 120,000 units per year....
Delta Company produces a single product. The cost of producing and selling a single unit of this product at the company's normal activity level of 94,800 units per year is: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling and administrative expenses Fixed selling and administrative expenses $ 2.10 $ 3.00 $ 0.90 $ 5.05 $ 1.80 $ 2.00 The normal selling price is $19.00 per unit. The company's capacity is 127,200 units per year. An order...
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Delta Company produces a single product. The cost of producing and selling a single unit of this product at the company’s normal activity level of 105,600 units per year is: Direct materials $ 1.90 Direct labor $ 2.00 Variable manufacturing overhead $ 0.90 Fixed manufacturing overhead $ 4.45 Variable selling and administrative expenses $ 1.70 Fixed selling and administrative expenses $ 1.00 The normal selling price is $19.00 per unit. The company’s capacity is 122,400 units per year. An order...
Delta Company produces a single product. The cost of producing and selling a single unit of this product at the company's normal activity level of 87,600 units per year is: Direct materials 2.40 $ 3.00 0.80 4.15 $ 1.70 2.00 Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling and administrative expenses Fixed selling and administrative expenses The normal selling price is $22.00 per unit. The company's capacity is 120,000 units per year. An order has been received from...
Delta Company produces a single product. The cost of producing and selling a single unit of this product at the company’s normal activity level of 91,200 units per year is: Direct materials $ 2.20 Direct labor $ 4.00 Variable manufacturing overhead $ 0.80 Fixed manufacturing overhead $ 4.45 Variable selling and administrative expenses $ 1.60 Fixed selling and administrative expenses $ 3.00 The normal selling price is $23.00 per unit. The company’s capacity is 114,000 units per year. An order...
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