Business, 23.03.2020 22:31 user1234573
Pattup Company makes 40,000 units per year of a part that it uses in the products it manufactures. The unit product cost of this part is computed as follows: Direct materials ………………………… $11.30 Direct labor ………………………… .. 22.70 Variable manufacturing overhead ……… 1.20 Fixed manufacturing overhead ………… 24.70 Unit product cost …………………… $59.90 An outside supplier has offered to sell the company all of these parts it needs for $46.20 a unit. If the company accepts this offer, the facilities now being used to make the part could be rented out to earn $264,000 per year. $21.90 of the fixed manufacturing overhead cost being applied to the part are unavoidable and would remain even if the part was purchased from the outside supplier. What is the net total dollar advantage (disadvantage) of purchasing the part rather than making it? A. $264,000 B. ($328,000) C. $548,000 D. ($64000)
Answers: 1
Business, 22.06.2019 00:30
Norton manufacturing expects to produce 2,900 units in january and 3,600 units in february. norton budgets $20 per unit for direct materials. indirect materials are insignificant and not considered for budgeting purposes. the balance in the raw materials inventory account (all direct materials) on january 1 is $38,650. norton desires the ending balance in raw materials inventory to be 10% of the next month's direct materials needed for production. desired ending balance for february is $51,100. what is the cost of budgeted purchases of direct materials needed for january? $58,000 $65,200 $26,550 $25,150
Answers: 1
Business, 22.06.2019 21:00
Which of the following statements is correct? stockholders should generally be happier than bondholders to have managers invest in risky projects with high potential returns as opposed to safe projects with lower expected returns. potential conflicts between stockholders and bondholders are increased if a firm's bonds are convertible into its common stock. takeovers are most likely to be attempted if the target firm’s stock price is above its intrinsic value. one advantage of operating a business as a corporation is that stockholders can deduct their pro rata share of the taxes the firm pays, thereby eliminating the double taxation investors would face in a partnership.
Answers: 1
Business, 23.06.2019 07:30
Which of the following conditions might result in the best financial decisions? a. agreeableness b. openness c. conscientiousness d. extraversion
Answers: 1
Business, 23.06.2019 18:30
Carlos wrote a check for $44.92 to pay his gas bill. he’ll use the check register to record his transaction. what will be his new balance?
Answers: 1
Pattup Company makes 40,000 units per year of a part that it uses in the products it manufactures. T...
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