One Two Three Estimated customer demand in units 700 600 800 Selling price per unit Variable cost per unit Machine-hours per unit $ 80 $ 35 $ 65 $ 26 $ 45 $ 20 1.25 2.5 3.0 The company has only 1,200 machine-hours available. What is the highest total contribution margin that the company can earn if it makes optimal u of its constrained resource? Multinle Cholce

One Two Three Estimated customer demand in units 700 600 800 Selling price per unit Variable cost per unit Machine-hours per unit $ 80 $ 35 $ 65 $ 26 $ 45 $ 20 1.25 2.5 3.0 The company has only 1,200 machine-hours available. What is the highest total contribution margin that the company can earn if it makes optimal u of its constrained resource? Multinle Cholce

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Saved Assume a company makes only three products, A, B, and C. Product A-Product B 700 Product C Estimated customer demand in units 800 Selling price per unit Variable cost per unit Machine-hours per unit 54.80 $ 65 $445 S 35. $ 26 $ 20 1.25 2.5 3.0 The company has only 1,900 machine-hours ovailable. What is the highest total contribution morgin that the company con eorn if it makes optimal use of its constrained resource? Multiple Cholcel $38.200 $39.200 $36.200 $37200
Assume a company makes only three products, A, B, and C: Product A Product B Product C Selling price per unit $ 80 $ 35 $ 45 $ 20 $ 65 Variable cost per unit $ 26 Machine-hours per unit 2.5 3.0 1.25 The company has only 3,000 machine-hours available and unlimited demand for each of its three products. The highest total contribution margin that the company can earn if it makes optimal use of its constrained resource is closest to:
Consider the following production and cost data for two products, L and C: Product L Product C Contribution margin per unit Machine minutes needed per unit $120 10 minutes $112 8 minutes A total of 60,000 machine minutes are available each period and there is unlimited demand for each product. What is the largest possible total contribution margin that can be realized each period? Multiple Choice $840,000 $780,000 $720,000
Question 3. MALI Itd produces the following products: Products G U Total Contribution per unit Labour hours £10 £6 £4 5 1 Demand (units) 60 70 80 REQUIRED: (a) First calculate how many hours are needed to produce all products. (b) Second, provided that we are limited to 300 total hrs, how could you distribute the optimal quantity of hours. (c) How many products would you produce in each of them? (d) How could a company such as this with a short-term problem of staff shortages overcome this in the long-term?
Assume a company makes only three products, A, B, and C: Selling price per unit Variable cost per unit Machine-hours per unit Multiple Choice The company has only 2,900 machine-hours available and unlimited demand for each of its three products. The highest total contribution margin that the company can earn if it makes optimal use of its constrained resource is closest to: $46,400. $52,200. $369,170. Product A Product B Product C $ 80 $ 51 $ 35 $ 20 2.5 1.25 $71,920. $ 65 $ 26 3.0
Inspect time / unit $10,207 10.8 minutes Sales Volume Variable cost Fixed cost Product X $50,000 1000 $22,057 Product Y $150,000 2000 $56,829 $39,065 12 minutes 1.Calculate the total shadow cost of inspection time in $ / hour Note. The overall opportunity cost for a resource (S) is the maximum value of the Si's across all products that use the resource. Sis called the resource's shadow cost. Inspect time / unit $21,635 14.4 minutes price Variable cost Fixed cost Product Z 79 per unit 29 per unit 2. Calculate the breakeven volume for this new product, taking opportunity cost into account. Note.For each product, the shadow cost should be treated as a variable cost. Sx Ui is added to Ci (variable cost per unit). 3.This situation is an example of which type of product interaction? a. Supply complement b.Supply substitution c.Demand complement d.Demand substitution
Assume a company makes only three products, A, B, and C: Product A Product B Product C Selling price per unit Variable cost per unit $ 90 $ 35 $ 65 $ 25 $ 45 $ 20 Machine-hours per unit 1.50 3 1.5 The company does not have enough machine-hours available to satisfy demand for all of its products. Product A's contribution margin per unit of the constraining resource is closest to: Multiple Choice $82.50. $55.00. $36.67. $56.00.
Q10 Manama Company manufactures several different products. Unit costs associated with one of these products are as follows: Direct materials Direct ma cturing labor Variable manufacturing overhead Fixed manufacturing overhead Sales commissions (2% of sales) Administrative salaries Total Required: Compute the variable manufacturing costs per unit associated with this product. Answer: For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BIVS Paragraph 4 Arial $40 $8 $12 $23 $6 $9 $98 10pt !!! > IXO o ***
Consider the following production and cost data for two products, Big and Little: Big Little Demand in units 6,000 10,000 Contribution margin per unit $24 $18 Machine-hours needed per unit 2 MH З МН Labor hours needed per unit 6 DLH 4 DLH The company has 36,000 direct labor hours available each period. What is the largest possible total contribution margin that can be realized each period? O $144,000 O $162,000 O $180,000 O $288,000
ab. ock esc ~ Microhard produces tablets, laptops and televisions. Microhard typically sells 1,000 tablets a year. The tablet information is as follows: Selling price per unit Direct material cost per unit Direct labor cost per unit Total unavoidable allocated overhead How much would Operating Income decrease if Microhard were to eliminate the tablets? DO NOT INCLUDE PARENTHESES OR NEGATIVE SIGNS IN YOUR ANSWER. Click Save and Submit to save and submit. Click Save All Answers to save all answers. ! 1 Q A @ 2 W S $60 $30 $10 $48,000 #M 3 E $ 4 D R % от оро 5 F MacBook Pro < 6 T G & of r 7 Y H * 00 つ

Consider the following production and cost data for two products, Big and Little: Big Little Demand in units 6,000 10,000 Contribution margin per unit $24 $18 Machine-hours needed per unit 2 ΜΗ 3 ΜΗ Labor hours needed per unit 6 DLH 4 DLH The company has 36,000 direct labor hours available each period. What is the largest possible total contribution margin that can be realized each period? O $162,000 $144,000 O $180,000 O $288,000
Consider the following production and cost data for two products, H and C: Product H $120 10 minutes Product C $112 8 minutes Contribution margin per unit Machine minutes needed per unit A total of 60,000 machine minutes are available each period and there is unlimited demand for each product. What is the largest possible total contribution margin that can be realized each period? Multiple Choice O $780,000 $1,560,000 $840,000 $720,000