Bram Co makes a breakfast product, the Fruit-bram, and uses throughput accounting. The bottleneck resource is machine hours and 7,000 machine hours are available per year. The following information relates to a batch of Fruit-bram: Throughput contribution Time on bottleneck resource $30.00 0.35 hours $88.57 Cost per factory hour Indicate, by clicking on the relevant boxes in the table below, whether each statement is true or false. The throughput accounting ratio (TPAR) for the Fruit-bram is 1.03 The total factory cost per year is $619,990 TRUE TRUE FALSE FALSE
Bram Co makes a breakfast product, the Fruit-bram, and uses throughput accounting. The bottleneck resource is machine hours and 7,000 machine hours are available per year. The following information relates to a batch of Fruit-bram: Throughput contribution Time on bottleneck resource $30.00 0.35 hours $88.57 Cost per factory hour Indicate, by clicking on the relevant boxes in the table below, whether each statement is true or false. The throughput accounting ratio (TPAR) for the Fruit-bram is 1.03 The total factory cost per year is $619,990 TRUE TRUE FALSE FALSE
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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
Transcribed Image Text:Bram Co makes a breakfast product, the Fruit-bram, and uses throughput accounting. The bottleneck resource is machine hours and 7,000 machine hours are available per year.
The following information relates to a batch of Fruit-bram:
$30.00
0.35 hours
$88.57
Throughput contribution
Time on bottleneck resource
Cost per factory hour
Indicate, by clicking on the relevant boxes in the table below, whether each statement is true or false.
The throughput accounting ratio (TPAR) for the Fruit-bram is 1.03
The total factory cost per year is $619,990
TRUE
TRUE
FALSE
FALSE
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