Peach has received a special order for 10,000 units of its product. The product normally sells for $29 and has the following manufacturing costs: Direct materials Direct labor Per unit $6 $5 Variable manufacturing overhead $3 Fixed manufacturing overhead Unit cost $11 $25 Assume that Peach has sufficient capacity to fill the order. What price should Peach charge to make a $10,000 incremental profit? a. $25 b. $15 c. $22 d. $29

Peach has received a special order for 10,000 units of its product. The product normally sells for $29 and has the following manufacturing costs: Direct materials Direct labor Per unit $6 $5 Variable manufacturing overhead $3 Fixed manufacturing overhead Unit cost $11 $25 Assume that Peach has sufficient capacity to fill the order. What price should Peach charge to make a $10,000 incremental profit? a. $25 b. $15 c. $22 d. $29

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter10: Short-term Decision Making

Section: Chapter Questions

Problem 4EA: Zena Technology sells arc computer printers for $55 per unit. Unit product costs are: A special...

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Peach has received a special order for 11,000 units of its product. The product normally sells for $22 and has the following manufacturing costs: Per unitDirect materials $ 6Direct labor 4Variable manufacturing overhead 3Fixed manufacturing overhead 4Unit cost $ 17 Assume that Peach has sufficient capacity to fill the order. What price should Peach charge to make a $11,000 incremental profit? Multiple Choice 1. $22 2.$203.$174.$14
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Adams Electronics currently produces the shipping containers it uses to deliver the electronics products it sells. The monthly cost of producing 9,300 containers follows. Unit-level materials Unit-level labor Unit-level overhead Product-level costs* Allocated facility-level costs $5,900 6,200 3,500 *One-third of these costs can be avoided by purchasing the containers. Russo Container Company has offered to sell comparable containers to Adams for $2.60 each. Required X Answer is complete but not entirely correct. $ 19,300 Yes $ 24,180 X No 11,100 26,900 a. Calculate the total relevant cost. Should Adams continue to make the containers? b. Adams could lease the space it currently uses in the manufacturing process. If leasing would produce $11,800 per month, calculate the total avoidable costs. Should Adams continue to make the containers? a. Total relevant cost a. Should Adams continue to make the containers? b. Total avoidable cost b. Should Adams continue to make the containers?
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Help Crystal has received a special order for 4,000 units of its product. The product normally sells for $330 and has the following manufacturing costs: Save & Exit Submit Direct materials Per unit Direct labor $116 63 Variable manufacturing overhead Fixed manufacturing overhead 49 22 Unit cost $250 Crystal is currently operating at full capacity and cannot fill the order without harming normal production and sales. What minimum price should Crystal charge to earn an incremental profit of $136,000? Multiple Choice $293 $330 Next > 17PM of 25
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please step by step solution.
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