Peggy Lane Corp., a producer of machine tools, wants to move to a larger site. Two alternative locations have been identified: Bonham and McKinney Bonham would have fixed costs of $780,000 per year and variable costs of $15,000 per standard unit produced McKinneywould have annual fixed costs of $920,000 and variable costs of $13,800 per standard unit. The finished items sell for $30,000 each.a) The volume of output at which both the locations have the same profit =standard units (round your response to the nearest whole number).b) Based on the analysis of the volume, after rounding the numbers to the nearest whole number, Bonham is superior belowc) Based on the analysis of the volume, after rounding the numbers to the nearest whole number, McKinney is superior aboved) The break-even point for Bonham isThe break-even point for McKinney isunits. (Enter your response rounded to the nearest whole number)units. (Enter your response rounded to the nearest whole number)standard units.standard units.♡

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Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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Wal Mart, although they are not a manufacturing company, uses sophisticated computer software to forecast sales and order products to be stocked in their stores so that they do not run out of the things shoppers are looking for. What kind of software system does Wal Mart likely use? Group of answer choices a) Inventory control b) Just-in-time ordering c) E-procurement d) Materials Requirement Planning (MRP)
2. (Quantity Discount) County Hospital orders syringes from a hospital supply firm. The hospital expects to use 40,000 per year. The cost to order and have the syringes delivered is $800. The annual carrying cost is $1.90 per syringe because of security and theft. The hospital supply firm offers the following quantity discount pricing schedule. Qty 0-9,999 10,000-19,999 20,000-29,999 30,000-39,999 40,000-49,999 50,000+ Price $ 3.40 $ 3.20 $ 3.00 $ 2.80 $ 2.60 $ 2.40 What is best order quantity for syringes that minimize total cost?
As manager of the St. Cloud Theatre Company, you have decided that concession sales will support themselves. The following table provides the information you have been able to put together thus far: Item Soft Drink Wine Coffee Candy Selling Price $1.20 $2.00 $1.25 $1.20 Variable Cost $0.60 $0.95 $0.35 $0.25 % of Revenue 26 24 30 20 Last year's manager, Scott Ellis, has advised you to be sure to add 10% of variable cost as a waste allowance for all categories. You estimate labor cost to be $300.00 (5 booths with 2 people each). Even if nothing is sold, your labor cost will be $300.00, so you decide to consider this a fixed cost. Booth rental, which is a contractual cost at $50.00 for each booth per night, is also a fixed cost. a) Based on the information available, the per night break-even point in dollars for the St. Cloud Theatre Company = $633.640 (round your response to two decimal places).
Fanning Company and Finch Company both apply overhead to the Work in Process Inventory account using direct labor hours. The following information is available for both companies for the year. Actual manufacturing overhead Actual direct labor hours Underapplied overhead Overapplied overhead) Required Fanning Company Finch Company $ 145,750 $ 261,600 23,000 27,000 10,500 $ 21,000 a. Compute the predetermined overhead rate for each company. b. Using T-accounts, record the entry to close the overapplied or underapplied overhead at the end of the accounting period for each company, assuming the amounts are immaterial.
Let’s say that Glass For Sale, Inc. manufacturers replacement glass for the home remodelingindustry. In January, the company produces fifteen-thousand windows and ended the monthwith nine-thousand windows in inventory. Glass For Sale’s management team would like to develop a production schedule for the next three months. A smooth production schedule is obviously desirable due to the fact that it maintains the current workforce and provides a similar month-to-month operation. However, given the sales forecasts, the production capacities, and the storage capabilities as shown in Table two, the management teamdoes not think a smooth production schedule with the same production quantity each month is possible. The company’s cost accounting department estimates that increasing production by one window from one month to the next will increase total costs by one dollar for each unit increase in the production level. In addition, decreasing production by one unit from one month to the next…
Tinker's 2020 cost of goods sold was $750,000 and 2019 cost of goods sold was $770,000. The inventory at the end of 2020 was $188,000 and $208,000 at the end of 2019. What was Tinker's inventory turnover during 2020? Group of answer choices A)3.79 b)3.99 C)3.84 D)3.89 E)None of the above
Last Year Sales $208,000 $221,000 Cost of goods sold 106,000 116,000 Gross margin 102,000 105,000 Other expenses 49,000 49,000 Net income 53,000 56,000 Finished goods inventory 2,700 5,000 Work-in-process inventory 11,000 8,000 Raw material inventory 5,500 7,000 Total inventory (average for year) 19,200 20,000 Other current assets 93,000 109,000 Other assets 210,000 249,000 Total assets 322,200 378,000 ^THIS YEAR The plant manager, Murat Kristal, at York Technologies makes Aircraft Navigation Systems. He expects you, as the new OM analyst, to provide some insight for performance of the plant. High on his list is an understanding of his inventory…
Alar is a manager at Shoeless Joe's Sports Bar and Grill and was approached by a hockey team asking for sponsorship. Sponsorship would mean purchasing 18 jerseys for the team BUT would see the team visit the restaurant on a regular basis. • The EXPECTED RETURNS for the restaurant from these visits would be Gross Sales of $2,000 per year for an expected five years. (Assume the restaurants profit margin on food/alcohol sales is 40%, so USE NET PROFIT of $800 per year for all calculations). Further, the jerseys would have the Shoeless Joe's logo and act as advertising (a goodwill function in accounting), BUT this is not considered in the calculations. Alar remembers something about CLTV in college and wants to calculate the CLTV using different methods on ONLY the future expected business from the team ($800 per year) (ignore advertising or goodwill from the jerseys). Determine: a) The CLTV of the team for "five years" using the "Easy Method". b) The CLTV of the team using the "Simple…
solve question (c) with complete explanation asap
UPVOTE WILL BE GIVEN! PLEASE ANSWER IN TYPEWRITTEN. ANSWER WHAT IS BEING ASKED.
The 10th annual bowling tournament is at your hotel in June. The group has a lot of audio-visual (AV) needs that the hotel will need to provide. The hotel has some basic AV equipment but does not have some of the items on the client’s request list. Which of the following strategies should the hotel employ so that the hotel and the client both benefit in this situation? Question 17 options: a) Rent the equipment and for convenience blend the cost into the budget for the client. b) Offer the client flip charts and markers instead of a projector for a lower price. c) Do not meet the guest’s needs and offer him a complimentary guest room for his trouble. d) Send the guest to the hotel next door for the AV portion of their meeting.
9.15 If the annual cost of goods sold is $30,000,000 and the average inventory is $5,000,000: a. What is the inventory turns ratio? b. What would be the reduction in average inventory if, through better materials management, inventory turns were increased to 10 times per year? c. If the cost of carrying inventory is 25% of the average inventory, what is the annual savings?

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