Granite Peak Construction mixes concrete using a 3:2:1 ratio of cement, sand, and gravel. If one batch requires 300 kg total and cement costs $2/kg, sand $1.20/kg, and gravel $0.80/kg, determine the cost per batch.
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- Huron Company produces a commercial cleaning compound known as Zoom. The direct materials and direct labor standards for one unit of Zoom are given below: Standard quantity or hours of direct materials: 7.40 pounds, standard price or rate of direct materials is 2.60 per pound. Standard cost of direct materials is 19.24. Standard quality or hours of direct labor is 0.45. Standard price or rate of direct labor is 8.00 per pound. Standard cost is 3.60. During the most recent month, the following activity was recorded: 12,100 pounds of material were purchased at a cost of 2.50 per pound. All of the material purchased was used to produce 1,500 units of the product. 575 hours of direct labor time were recorded at a total labor cost of 5,750. Compute the materials price variance and the materials quantity variance for the month. Complete the labor rate variance and efficiency variance for the month.Firm X has a production process that has a total joint cost of $14,000. At the split-off point, there are 1,000 pounds of Product 1 and 3,000 pounds of Product 2. What is the cost per pound of Product 1 using the physical measure method?A chemical company is considering two types of incinerators to burn solid waste generated by a chemical operation. Both incinerators have a burning capacity of 20 tons per day. The following data have been compiled for comparison of the two incinerators: If the firm's MARR is known to be 13%. determine the processing cost per tonof solid waste for each incinerator. Assume that incinerator B will be availablein the future at the same cost.
- A rock company uses five types of rocks to fill six orders. The phosphate content, availability of each type of rock, and the production cost per pound for each rock are shown the picture, as well as the size of each order and the minimum and maximum phosphate percentage in each order. What is the minimum total cost?P Alvarez Company makes three joint products, products A, B, and C. For each batch, the materials cost is $22,500, direct labor cost is $6,600, and manufacturing overhead is $13,900. From each batch, the company makes 4,300 pounds of A, 3,200 pounds of B, and 2,500 pounds of C. Required: a. What are the total joint costs for each batch of the products? b. Allocate the joint costs to each of the three products. c. Determine the cost per pound for product A. a. Total joint costs b. Amount of joint costs allocated to A b. Amount of joint costs allocated to B b. Amount of joint costs allocated to C c. Cost for product A per poundTwo alternatives are under consideration for a tapered fastening pin. Either design will serve the purpose and will involve the same material and manufacturing cost except for the lathe and grinder operations. Design A will require 16 hours of lathe time and 4.5 hours of grinder time per 1,000 units. Design B will require 7 hours of lathe time and 12 hours of grinder time per 1,000 units. The operating cost of the lathe including labor is ₱200 per hour. The operating cost of the grinder including labor is ₱150per hour. Which design should be adopted if 100,000 units are required per year and what is the economic advantage of the best alternative?
- Haver Company currently pays an outside supplier $19 per unit for a part for one of its products. Haver is considering two alternative methods of making the part. Method 1 for making the part would require direct materials of $7 per unit, direct labor of $10 per unit, and incremental overhead of $3 per unit. Method 2 for making the part would require direct materials of $7 per unit, direct labor of $4 per unit, and incremental overhead of $7 per unit. Compute the cost per unit for each alternative method of making the partHaver Company currently pays an outside supplier $15 per unit for a part for one of its products. Haver is considering two alternative methods of making the part. Method 1 for making the part would require direct materials of $5 per unit, direct labor of $8 per unit, and ncremental overhead of $3 per unit. Method 2 for making the part would require direct materials of $5 per unit, direct labor of $2 per unit, and incremental overhead of $7 per unit. Required: 1. Compute the cost per unit for each alternative method of making the part. 2. Should Haver make or buy the part? If Haver makes the part, which production method should it use? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the cost per unit for each alternative method of making the part. Make with Method Make with 1 Method 2 Cost per unit Cost per unit Required t Buy Required 2 >Malloy Milling grinds calcined alumina to a standard granular size. The mill produces two different size products, regular grind and super grind, from the same raw materials. After reviewing the production rate, demand, and profit for each of the two types of grind, Malloy Milling found the following linear optimization model for profit, where R is the number of tons of regular grind produced and S is the number of tons of super grind produced. Implement the linear optimization model on a spreadsheet and use Solver to find an optimal solution. Interpret the Solver Answer Report, identify the binding constraints, and verify the values of the slack variables. Maximize Profit=1000 R+ 1800 S R+S≥700 R S 5 3 R≥400 S≥200 $168 (Total production) (Time limitation) (Demand for regular grind) (Demand for super grind) Implement the linear optimization model and find an optimal solution. Interpret the optil solution. The optimal solution is to produce tons of regular grind and tons of super grind.…
- Products A and B are produced from a single raw material input. The raw material costs $90,000, from which 5,000 units of A and10,000 units of B can be produced each period. Product A can be sold at the split-off point for $2 per unit, or it can be processed further at a cost of $12,500 and then sold for $5 per unit. Product B can be sold at the split-off point for $8 per unit, or it can be processed further at a cost of $40,000 and then sold for $12 per unit. What is the total change in net income if both products are processed further?Haver Company currently pays an outside supplier $33 per unit for a part for one of its products. Haver is considering two alternative methods of making the part. Method 1 for making the part would require direct materials of $14 per unit, direct labor of $17 per unit, and incremental overhead of $3 per unit. Method 2 for making the part would require direct materials of $14 per unit, direct labor of $11 per unit, and incremental overhead of $7 per unit. Required: 1. Compute the cost per unit for each alternative method of making the part. 2. Should Haver make or buy the part? If Haver makes the part, which production method should it use? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the cost per unit for each alternative method of making the part. Cost per unit Make with Method 1 Make with Method 2 Cost per unit $ 0 Required 1 $ 0 $ Buy Required 2 >Products A, B, and C are produced from a single raw material input. The raw material costs $90,000, from which 5,000 units of A, 10,000 units of B, and 15,000 units of C can be produced each period. Product A can be sold at the split-off point for $2 per unit, or it can be processed further at a cost of $12,500 and then sold for $5 per unit. If Product A is processed further, what is the change in the company's overall net operating income? It the change is a decrease, enter your number with a – in front. Otherwise, just enter the number. ENTER YOUR ANSWER WITHOUT DOLLAR SIGNS OR OTHER DISCRIPTIONS.