Problem #2 The Milk Inc. has the following operating results for making 150,000 pounds of chocolate: $60,000 37,500 22,500 12,000 Sales Variable expense Contribution margin Fixed Expenses Net operating Income 10,500 The Milk Chocolate Division has the ability to produce and sell 200,000 pounds of chocolate annually. Assume that The Peanut Butter Inc. wants to purchase 60,000 pounds of chocolate from The Milk Inc. Under these conditions, what amount per pound of chocolate would The Milk Inc. have to charge the Peanut Butter Inc. for this special order in order to maintain its current profit? Round your answer to two decimals.

Product b) Chocfee Dairy Ltd gathered this data for two of its Current Sales Additional Processing Value Sales Value if Costs Coffee beans $ 8.000 000 Chocolate malt $ 5.000 000 Processed Further $ 3.000 products that it produces: $ 2 000 Required: Which of the products should be processed further? ANSWER b): $10 $7

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Planet of the Grapes, Inc. makes a single product that it sells for $40 each. Variable costs are $15 per unit and annual fixed costs total $120,000 per year.  The company would like to realize operating income next year of $90,000.  What level of sales in dollars must the company achieve to reach its target profit?   A. $4,800   B. $192,000   C. $336,000   D. $8,400

1 Assume that Palmer Executive Pens uses 1,440,000 gallons of ink each year. Further, assume that Palmer can order the ink at a cost of $2 per gallon plus fixed ordering costs of $100 per order. The firm's carrying cost is 20 percent of the inventory value, at cost. What is the EOQ? * 21,456 13,563 26,833 43,987 30,040

We sell two products: Product #1 Product #2 Total Sales $200,000 $400,000 $600,000| Variable Expenses 120,000 350,000 470,000 Contribution Margin 80,000 50,000 130,000 CM Ratio 40% 12.5% 21.67% Fixed Expenses total $30,000. What is the breakeven point based on the current sales mix? A. $600,000 B. $75,000 C. $138,440 D. $240,000 4.

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6. %24 iz/attempt.php?attempt3D216068&cmid3D185308&page=D1 The manufacturing capacity of Jordan Company's facilities is 30,000 units a year. A summary of operating results for last year follows: Sales (18,000 units @ 000'008 Variable costs 000'066 Contribution margin 000'018 Fixed costs Net operating income $315,000 A foreign distributor has offered to buy 12,000 units at $95 per unit next year. Jordan expects its regular sales next year to be 20,000 units at $100 per unit. If Jordan accepts this offer for 12,000 units and rejects some business from regular customers so as not to exceed capacity, what is the expected total net operating income for next year? (Assume that the total fixed costs would be the same no matter how many units are produced and sold.) Select one: $795,000 $735,000 Clear my choice pe here to search 81 15 f4 f3 #