Bruce Corporation makes four products in a single facility. These products have the following une product costs Direct materials Direct labor Variable manufacturing overhead Fixed manufa Unit product cast Additional data concerning these products are listed below ring overhead Grinding minutes per unit Selling price per wilt $14.70 19.00 4.70 26.99 $66.30 A Products $18.60 27.80 $11.40 $11.00 34.00 40.00 3.10 3,00 3.60 55.20 27.00 37.60 $76.70 $75.00 $93.00 Products 1 4.20 176.50 5.70 $13.90 $ 2.60 $1.00 4,400 COND 4.70 3.00 $7.00 $0.00 $ 3.70 12.00 3,406 3,400 The grinding machines are potentially the constant in the production facility A total of 6300 minutes are available per month on these machines Direct labor is a variable c the company Up to how much should the mpany be wiling to pay for one addisional mute of grinding machine weit the company has made the best use of the existing grinding machine capacity? Round your intermediate calculations to 2 decimal places)

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question

Q.13.

Bruce Corporation makes four products in a single facility. These products have the following unit product costs
Direct materials
Direct labor
Variable manufacturing overhead
Fixed manufacturing overhead
Unit product cost
Additional data concerning these products are listed below
Grinding minutes per unit
Selling price per unit
Variable selling cost per unit
Monthly demand in units
Multiple Choice
O
O
O
$3.80
$12.42
$14.70
19.80
$10.36
4.70
26.90
$66.10
$700
4.20
$ 76.50
$ 2.60
4,400
Products
The grinding machines are potentially the constraint in the production facility. A total of 68.300 minutes are available per month on these machines
Direct labor is a variable cost in this company
C
$13.60 $11.40
27.80
34.00
3,00
27.00
Up to how much should the company be willing to pay for one additional minute of grinding machine sine if the company has made the best use of the existing
grinding machine capacity? (Round your intermediate calculations to 2 decimal places)
3.10
36.20
$76.70 $75.40
Products
5.70
$ $3.90
$1.60
4,400
D
$ 11.00
40.80
3.60
37.60
$93.00
0
3.00
4.70
$87.50 $ 104.00
$3.70
$2.00
3,400
2,400
D
Transcribed Image Text:Bruce Corporation makes four products in a single facility. These products have the following unit product costs Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Unit product cost Additional data concerning these products are listed below Grinding minutes per unit Selling price per unit Variable selling cost per unit Monthly demand in units Multiple Choice O O O $3.80 $12.42 $14.70 19.80 $10.36 4.70 26.90 $66.10 $700 4.20 $ 76.50 $ 2.60 4,400 Products The grinding machines are potentially the constraint in the production facility. A total of 68.300 minutes are available per month on these machines Direct labor is a variable cost in this company C $13.60 $11.40 27.80 34.00 3,00 27.00 Up to how much should the company be willing to pay for one additional minute of grinding machine sine if the company has made the best use of the existing grinding machine capacity? (Round your intermediate calculations to 2 decimal places) 3.10 36.20 $76.70 $75.40 Products 5.70 $ $3.90 $1.60 4,400 D $ 11.00 40.80 3.60 37.60 $93.00 0 3.00 4.70 $87.50 $ 104.00 $3.70 $2.00 3,400 2,400 D
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps with 2 images

Blurred answer
Knowledge Booster
Accounting for Merchandise Inventory
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education