I want to this question answer general Accounting not use ai Kate's Kale Chips produces a healthy snack made primarily of kale. Each bagof the product sells for $5. The company computes the manufacturingoverhead rate on a quarterly basis based upon the planned number of unitsto be produced that quarter. The following data are from Kate's Kale Chips'sprojections for the upcoming quarter:ProjectionsSalesProduction28,000 bags30,000 bagsVariable manufacturing cost per bag $3.60Sales and distribution costs per bag $0.45Total fixed manufacturing overhead $57,000Fixed administrative overhead$26,000Compute the projected product cost per bag produced under absorptioncosting.

Step 1: Define Absorption CostingAbsorption costing is used to calculate the value of inventory. In…

Answered: Kate's Kale Chips produces a healthy…

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter16: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 2CE

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Ottis, Inc., uses 640,000 plastic housing units each year in its production of paper shredders. The cost of placing an order is 30. The cost of holding one unit of inventory for one year is 15.00. Currently, Ottis places 160 orders of 4,000 plastic housing units per year. Required: 1. Compute the economic order quantity. 2. Compute the ordering, carrying, and total costs for the EOQ. 3. How much money does using the EOQ policy save the company over the policy of purchasing 4,000 plastic housing units per order?
Kate’s Kale Chips produces a healthy snack made primarily of kale. Each bag of the product sells for $5. The company computes the manufacturing overhead rate on a quarterly basis based upon the planned number of units to be produced that quarter. The following data are from the projections of Kate’s Kale Chips for the upcoming quarter: Projections Sales 26,000 bags Production 28,000 bags Variable manufacturing cost per bag $ 3.20 Sales and distribution costs per bag $ 0.25 Total fixed manufacturing overhead $ 42,000 Fixed administrative overhead $ 24,000 Required: 1. Compute the projected product cost per bag produced under full costing. 2. Compute the projected product cost per bag under variable costing. (Round your answers to 2 decimal places.) Please dont provide answer in images thank you
Kate's Kale Chips produces a healthy snack made primarily of kale. Each bag of the product sells for $5. The company computes the manufacturing overhead rate on a quarterly basis based upon the planned number of units to be produced that quarter. The following data are from the projections of Kate's Kale Chips for the upcoming quarter: Projections 24,000 bags 26,000 bags $ 2.80 $ 0.55 $ 59,800 $ 22,000 Sales Production Variable manufacturing cost per bag Sales and distribution costs per bag Total fixed manufacturing overhead Fixed administrative overhead Required: 1. Compute the projected product cost per bag produced under full costing. 2. Compute the projected product cost per bag under variable costing. (Round your answers to 2 decimal places.) 1. Product cost under full costing per bag 2. Product cost under variable costing per bag
Kate's Kale Chips produces a healthy snack made primarily of kale. Each bag of the product sells for $5. The company computes the manufacturing overhead rate on a quarterly basis based upon the planned number of units to be produced that quarter. The following data are from the projections of Kate's Kale Chips for the upcoming quarter: Sales Production Variable manufacturing cost per bag Sales and distribution costs per bag Total fixed manufacturing overhead Fixed administrative overhead 1. Product cost under full costing 2. Projections 22,500 bags 24,500 bags $2.50 $ 0.40 Required: 1. Compute the projected product cost per bag produced under full costing. 2. Compute the projected product cost per bag under variable costing. (Round your answers to 2 decimal places.) Product cost under variable costing $ 49,000 $ 20,500 per bag per bag
Given the following data solve for the eoq time
The ordering cost for a certain product is $8 per order and the holding cost is $1 per year. The annual demand is 2400 units. Consider the following ordering plans: plan 1: Order all 2400 at one time plan 2: Order 400 once each quarter plan 3: Order 100 once each month Determine: (a) Calculate the annual total costs associated with each plan (plan 1, 2 and 3), and compare the costs (total cost, holding costs and ordering cost). (b) Is there another plan, cheaper than any of these? Calculate the total cost of the cheaper or optimal plan; and for the optimal plan determine how many times in a year an order needs to be in place. (c) In the basic EOQ model, if the cost of placing an order doubles, and all other values remain constant, will the new EOQ increase or decrease then by what percentage.
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Triple T Inc. sells 100,000 tea bags a year. Other data are as follows:Selling price/bag P2.50 Carrying cost 20% of unit costPurchase cost/bag P1.50 Operating days per year 250Ordering cost P5.40/order Ave. lead time on purchases 6 daysMaximum lead time 13.5 days Compute the reorder point for Triple T Inc.
Demand for the Child Cycle at Best Buy is 9000 units per year. Best Buy incurs a fixed order placement, transportation, and receiving cost of OMR 48 each time an order is placed. Each cycle costs OMR 12 and the retailer has a holding cost of 20 %. Evaluate the number of cycles (EOQ) that the retailer should order and number of orders per year. a. 600 units and 15 orders b. 178.88 units and 10 orders c. 126.49 units and 15 orders d. 109.54 units and 10 orders

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