Question:34Perl Corp. applies to manufacturing overhead costs to productsat a budgeted indirect-cost rate of $55 per direct manufacturinglabor hour. A retail outlet has requested a bid on a special orderof a necklace. Estimates for this order include: Direct materialsof $46,000; 400 direct manufacturing labor- hours at $15 perhour; and a 50% markup rate on total manufacturing costs.The bid price for this special order is:a. $78,000.b. $62,000.c. $111,000.d. $102,000.

To calculate the bid price for the special order, follow these steps: Step 1: Calculate Total Direct…

Answered: Question:34 Perl Corp. applies to…

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter8: Tactical Decision-making And Relevant Analysis

Section: Chapter Questions

Problem 39E

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Candle Corp applies manufacturing overhead costs to products at a budgeted indirect - cost rate of $65 per direct manufacturing labor hour A retail outlet has requested a bid on a special order of a necklace Estimates for this order include Direct materials of $38,000 , 600 direct manufacturing labor -hours at $35 per hourand a 20markup rate on total manufacturing costs The bid price for this special order is56000 70000 92400 117600
What is the bid price for this special order?
Caropa Suppliers applies manufacturing overhead costs to products at a budgeted indirect-cost rate of$60 per direct manufacturing labor-hour. A retail outlet has requested a bid on a special order of the Toy product. Estimates for this order include: Direct materials $40,000; 500 direct manufacturing labor-hours at $20 per hour; and a 20% markup rate on total manufacturing costs.Required: Estimated total manufacturing costs for this special order equal: a. $50,000 b. $96,000 c. None of these answers is correct. d. $80,000
A company has received a special order from a customer to make 5,000 units of acustomized product. The direct materials cost per unit of the customized product is$15, the direct labor cost per unit is $5, and the manufacturing overhead per unit is$18, including $6 of variable manufacturing overhead. If the company has sufficientavailable manufacturing capacity, what is the minimum price that can be accepted forthe special order?a. $24 c. $32b. $26 d. $38
See question in picture . Multiple choice options as follows : A. $4.00 B.$15.00 C. $18.00 D.$60.00
15) Corp applies O/H to products at a budgeted indirect-cost rate of $60 per DLH. A retail outlet has requested a bid on a special order of a necklace. Estimates for this order include: DM of $50,000; 400 DLH at $20 per hour; and a 30% markup rate on total manufacturing costs. Estimated total product costs for this order equal
Assume a company is considering whether to accept or reject a special order opportunity to sell a customer 300 units of a slightly customized version of one of its products for $40.25. The normal selling price of this product is $48 per unit. It can fulfill the order using existing manufacturing capacity. The company’s accounting system estimates the following unit product cost for this product: Per Unit Direct materials $ 18 Direct labor 12 Manufacturing overhead 10 Total cost $ 40 The company estimates that $3 of its manufacturing overhead varies with respect to the number of units produced. The remainder of its overhead is fixed and unaffected by the volume of units produced within the relevant range. Assuming that this decision will have no effect on sales to other customers, what is the financial advantage (disadvantage) of accepting the special order? Multiple Choice $1,200 $600 $1,500 $2,175
Assume a company is considering whether to accept or reject a special order opportunity to sell a customer 300 units of a slightly customized version of one of its products for $37.25. The normal selling price of this product is $48 per unit. It can fulfill the order using existing manufacturing capacity. The company’s accounting system estimates the following unit product cost for this product: Per Unit Direct materials $ 18 Direct labor 12 Manufacturing overhead 10 Total cost $ 40 The company estimates that $3 of its manufacturing overhead varies with respect to the number of units produced. The remainder of its overhead is fixed and unaffected by the volume of units produced within the relevant range. Assuming that this decision will have no effect on sales to other customers, what is the financial advantage (disadvantage) of accepting the special order?
Pearl Corp. applies manufacturing overhead costs to products at a budgeted indirect-cost rate of $60 per direct manufacturing labor- hour. A retail outlet has requested a bid on a special order of a necklace. Estimates for this order include: Direct materials of $50,000; 400 direct manufacturing labor-hours at $20 per hour; and a 30% markup rate on total manufacturing costs. Compute estimated total product costs for this special order (not bid price). Example of Answer: 4000 (No comma, space, decimal point, or $ sign)
Parker Industries applies manufacturing overhead costs to products at a budgeted indirect-cost rate of $60 per direct manufacturing labor hour. A client has requested a bid on a special order for a customized bracelet. Estimates for this order include: Direct materials of $52,000, 450 direct manufacturing labor hours at $18 per hour, and a 40% markup rate on total manufacturing costs. What is the bid price for this special order?
Crandle Corp. applies manufacturing overhead costs to products at a budgeted indirect-cost rate of $55 per direct manufacturing labor-hour. A retail outlet has requested a bid on a special order of a necklace. Estimates for this order include: ef $37.000; 600 direct manufacturing labor - hours at $30 per hour, and a 30% markup rate on total manufacturing costs. Estimated total product costs for this special order equal OA S70,000 OB $114,400 OC S88,000 OD. S55.000 O Time Remaining: 02:10:08 Next 24 7. 8. 6 2
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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