. Prepare a differential analysis report for the make-or-buy decision, considering the differential revenues and costs. WISCONSIN ARTS OF MILWAUKEE Purchase Outside Page Layout Services Differential Analysis Report Differential revenue: Residual value of computer equipment 22,500 Differential cost of alternatives: Purchase price of layout work: Number of pages 31,300 V Price per page 18 Total differential costs 563,400 Cost to perform internally: Salaries 184,000 Benefits 51,000 Supplies 27,000 Office expenses 20,000 282,000 Cost increase from purchasing outside layout services 303,900 X Net differential loss from using an outside service

. Prepare a differential analysis report for the make-or-buy decision, considering the differential revenues and costs. WISCONSIN ARTS OF MILWAUKEE Purchase Outside Page Layout Services Differential Analysis Report Differential revenue: Residual value of computer equipment 22,500 Differential cost of alternatives: Purchase price of layout work: Number of pages 31,300 V Price per page 18 Total differential costs 563,400 Cost to perform internally: Salaries 184,000 Benefits 51,000 Supplies 27,000 Office expenses 20,000 282,000 Cost increase from purchasing outside layout services 303,900 X Net differential loss from using an outside service

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Q. 8 Which following costs need to be considered for both make or buy options? O. Fixed overhead O. Variable overhead O. Rental revenue Q. 9 What is the per unit cost to purchase from the vendor? Round to the nearest penny. Q. 10 Based on your analysis, the CreativeStationary Co. should make the product in-house or buy them from the vender? O. Make O. Buy Do (Q8,9,10 plz)
19) To allocate O/H, how many separate cost pools should be formed given the following information? Cost Postage costs Printing and paper costs Quality control costs Customer service costs 20)Bob has assembled the following cost data that cannot be easily identified as either fixed or variable. Cost Hours $24,000 $26,100 $34,700 $48,000 $38,300 Cost driver # of brochures mailed # of brochures mailed # of inspections # of customers served 5,000 6,300 7,900 11,000 9,250
akeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocator=&inprogress=false Up eBook Show Me How Print Item High-Low Method Ziegler Inc. has decided to use the high-low method to estimate the total cost and the fixed and variable cost components of the total cost. The data for various levels of production are as follows: Units Produced Total Costs 80,000 $25,100,000 92,000 27,206,000 120,000 32,120,000 a. Determine the variable cost per unit and the total fixed cost. Variable cost (Round to two decimal places.) %24 per unit Total fixed cost b. Based on part (a), estimate the total cost for 115,000 units of production. Total cost for 115,000 units Check My Work 4 more Check My Work uses remaining. Previous Next
A company is considering two alternatives with the following costs: Alternative 1 Alternative 2Material costs$87,000 $87,000 Utilities costs$45,000 $44,100 Review costs$41,000 $44,100 Direct labor costs$51,000 $51,000 Identify the costs that are relevant and the costs that are not relevant, given the choice of alternatives. Calculate the differential cost between the alternatives.
Jilrn/takeAssignment/takeAssignment Main.do?invoker=&takeAssignmentSession Locator=&inprogress=false eBook Show Me How Contribution Margin Ratio a. Young Company budgets sales of $1,280,000, fixed costs of $66,200, and variable costs of $294,400. What is the contribution margin ratio for Young Company? % b. If the contribution margin ratio for Martinez Company is 52%, sales were $682,000, and fixed costs were $262,430, what was the operating income? Check My Work 2 more Check My Work uses remaining, B Previous Next
ageNOWv2 | Online teachin X + m/ilrn/takeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSession Locator=&inprogress... A F Variable costs as a percentage of sales for Lemon Inc. are 72%, current sales are $610,000. and fixed costs are $191,000. How much will income from operations change if sales increase by $48,900? Oa. $13,692 decrease Ob. $13,692 increase Oc. $35,208 decrease. Od. $35,208 increase D Q 10+
Given the following cost and activity observations for Leno Enterprises'utilities, use the high-low method to calculate Leno's variable utilities cost permachine hour. Cost Machine HoursSeptember £4,100 22,000October £3,700 18,000November £3,900 19,000December £4,500 28,000a) £0.08b) £4.86c) £0.25d) £12.50
Can you please review my homework? I am sending answer and what I think is the solution That is the only information I have . I have submiited the question before but they said information was missing in the question I sent. ⦁ Big Sky Dermatology Specialist are setting the price on a new office location. Here are the relevant data estimates:Variable Cost Per Visit $8.00Annual Direct fixed Cost $650,000Annual overhead allocation $65,000Expected annual utilization 10,000 visits ⦁ What per visit price must be set for the service to break-even? To earn an annual profit of $100,000?Insert your response here. Per visit price= Variable cost + fixed cost + annual overhead / total # number of visits(variable cost *volume) Per visit price = 8*10,000 + 650,000 + 65,000/ 10,000= 80,000 + 650,000 + 65,000/ 10,000= 795,000/10,000Per visit price = 79.5 Per visit price = total cost incurred by + desired profit/ total number of visits=79.5*10,000 + 100,000 /10,000= 895,000/10,000= 89.5To earn an annual…
Blossom Fiber Company is the creator of Y-Go, a technology that weaves silver into its fabrics to kill bacteria and odor on clothing while managing heat. Y-Go has become very popular in undergarments for sports activities. Operating at capacity, the company can produce 1,000,000 Y-Go undergarments a year. The per unit and the total costs for an individual garment when the company operates at full capacity are as follows. Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling expenses Totals Per Undergarment $1.90 0.40 0.95 1.40 0.30 $4.95 Total $1,900,000 400,000 950,000 1,400,000 300,000 $4,950,000 The U.S. Army has approached Blossom Fiber and expressed an interest in purchasing 249,000 Y-Go undergarments for soldiers in extremely warm climates. The Army would pay the unit cost for direct materials, direct labor, and variable manufacturing overhead costs. In addition, the Army has agreed to pay an additional $0.95 per undergarment…
Current Designs faces a number of important decisions that require incremental analysis. One of Current Designs' competitive advantages is found in the ingenuity of its owner and CEO, Mike Cichanowski. His involvement in the design of kayak molds and production techniques has led to Current Designs being recognized as an industry leader in the design and production of kayaks. This ingenuity was evident in an improved design of one of the most important components of a kayak, the seat. The "Revolution Seating System" is a one-of-a-kind, rotating axis seat that gives unmatched, full-contact, under-leg support. It is quickly adjustable with a lever-lock system that allows for a customizable seat position that maximizes comfort for the rider. Having just designed the "Revolution Seating System," Current Designs must now decide whether to produce the seats internally or buy them from an outside supplier. The costs for Current Designs to produce the seats are as follows. Direct materials $22…
Compute the missing amounts. Operating Data Contribution margin Controllable fixed costs i Controllable margin Sales Variable costs eTextbook and Media Women's Shoes $280,800 104,000 176800 (1) 624,000 343200 (2) Men's Shoes 135200 41600 93,600 468,000 332,800 (3) Children's Shoes $187,200 88400 (5) 98,800 447200 260,000 (6) Attemnts: unlimited
Exercise 10-32 (Algo) Activity-Based Costing of Customers (LO 10-3, 4) Northwestern Bank (NB) offers only checking accounts. Customers can write checks and use a network of automated teller machines. NB earns revenue by investing the money deposited; currently, it averages 4.1 percent annually on its investments of those deposits. To compete with larger banks, NB pays depositors 0.3 percent on all deposits. A recent study classified the bank's annual operating costs into four activities. Activity Using ATM Visiting branch Processing transactions Managing functions Total overhead Cost Driver Number of uses Number of visits Number of transactions Total deposits Cost $ 1,936,800 1,900,800 8,521,920 7,321,600 $ 19,681,120 Driver Volume 3,228,000 uses 396,000 visits 129,120,000 transactions $ 615,035,000 in deposits Data on two representative customers follow: Emily Jacob ATM uses 40 130 Branch visits 5 Number of transactions Average deposit 200 45 520 $ 10,000 $ 10,000