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- Waterway Industries produces several products that can be sold at the split-off point or processed further and then sold. The following results are from a recent period: Sales Value Additional at Split-off Variable Costs Further Processing Sales Value after Product $24000 $178000 Green lumber $159600 27500 169400 121000 Rough lumber 128400 19300 Sawdust 101000 What is the increase in profit if the appropriate products are processed further? O $23400 O $251000 O $29000 O $94200 2:56 PM 11/10/2019 hp end home ins prt se delete 4 hum ock + backspacThe constraint at Pickrel Corporation is time on a particular machine. The company makes three products that use this machine. Data concerning those products appear below: 9. VD JT SM Selling price per unit Variable cost per unit Minutes on the constraint $344.85 $415.40 $119.32 $270.18 $310.88 $ 91.96 Sklpped 5.70 6.70 1.90 Rank the products in order of their current profitability from most profitable to least profitable. In other words, rank the products in the order in which they should be emphasized. (Round your Intermedlate calculations to 2 declmal places.) Multiple Cholce JT, SM, VD JT. VD, SM VD, SM, JT SM, VD, JT Mc Graw < Prev 9 of 9 Next 68°F Mostly cloudy Type here to search DELLRalston Dairy gathered this data about the two products that it produces: Products Current SalesValue Estimated AddedProcessing Costs Sales Value IfProcessing Further Frozen yogurt $8,100 $1,900 $10,900 Ice cream 11,900 7,100 17,900 Which of the products should be processed further? because profits $fill in the blank 3.
- Company E has two divisions, Division A and Division B. Division A is currently buying Component X from an external seller for $14. Division B produces Component X and has excess capacity. Using the following data, what would the transfer price per unit if Division A purchased Component X from Division B at the full-cost plus assuming 15% transfer price? Variable cost per unit $7.16 Fixed cost per unit 1.14 Division B sales price of Component X 14.5Concord Corporation produces several products that can be sold at the split-off point or processed further and then sold. The following results are from a recent period: Additional Sales Value after Sales Value Product at Split-off Variable Costs Further Processing $186600 $25000 $161600 Green lumber 28500 176400 126000 Rough lumber 134400 20300 106000 Sawdust The additional profit that would result from processing rough lumber further is O $97500. O $21900. O $50400. O $147900. 11An automated turning machine is the current constraint at Jordison Corporation. Three products use this constrained resource. Data concerning those products appear below: LN JQ RQ Selling price per unit $ 167.36 $ 303.39 $ 411.96 Variable cost per unit $ 136.00 $ 212.11 5 303.18 Minutes on the constraint 1.60 5.60 7.40 Rank the products in order of their current profitability from most profitable to least profitable. In other words, rank the products in the order in which they should be emphasized. (Round your intermediate calculations to 2 decimal places)
- A tile manufacturer has supplied the following data: Boxes of tiles produced and sold Sales revenue Variable manufacturing expense Fixed manufacturing expense Variable selling and administrative expense Fixed selling and administrative expense Net operating income a. b. $ $ What is the company's unit contribution margin? $0.86 per unit $2.35 per unit $4.10 per unit $1.75 per unit C. d. 520,000 2,132,000 650,000 $ 464,000 $ 260,000 $ 312,000 $ 446,000Problem 5. Sell-as-is or process further a product-2. Hurricane Corporation produces three products at segregation point, Poh, Taeh, and Toh. These products could be processed further then later sold at higher sales value. The total joint cost in manufacturing these three products was P3 million. The data below were made available by the accounting and production personnel: Taeh 40,000 units P 100 Poh 10,000 units P 80 90 Toh 50,000 units P 200 Production and sales Unit sales price at split-off point 120 18 Unit sales price after further processing Unit variable costs of subsequent process If product Poh is processed further, an equipment shall be rented at a cost of P12,000. To process further product Taeh an outside contractor will be engaged for an amount of P90,000 because the company has no available space and manpower for its subsequent processing. Product Toh could be subsequently processed by using idle machine and manpower time within the company. The total set-up cost of…Cox Electric makes electronic components and has estimated the following for a new design of one of its products. Fixed cost = $23,750 • Material cost per unit = $0.17 • Labor cost per unit = $0.11 • Revenue per unit = $0.66 Note that fixed cost is incurred regardless of the amount produced. Per-unit material and labor cost together make up the variable cost per unit. Assuming that Cox Electric sells all that it produces, profit is calculated by subtracting the fixed cost and total variable cost from total revenue. Construct an appropriate spreadsheet model to find the profit based on a given production level and use the spreadsheet model to answer these questions. (a) Construct a one-way data table with production volume as the column input and profit as the output. Breakeven occurs when profit goes from a negative to a positive value; that is, breakeven is when total revenue = the total cost, yielding a profit of zero. Vary production volume from 0 to 100,000 in increments of 10,000.…
- Company E has two divisions, Division A and Division B. Division A is currently buying Component X from an external seller for $12. Division B produces Component X and has excess capacity. Using the following data, what would the transfer price per unit if Division A purchased Component X from Division B at the market-based transfer price? • Variable cost per unit $10 • Fixed cost per unit 1.16 • Division B sales price of Component X 14.50Hitec industries produces three products with the following costs and selling prices: Product Y Selling price per unit P40 P30 P35 Variable costs per unit 24 18 20 Contribution margin per unit 18 14 15 Direct labor hours per unit 3 Machine hours per unit 7 4 If Hitec has a limit of 30,000 machine hours but no limit on units sold or direct labor hours, then the three products should be produced in which order? Y. Z, X X, Y, Z X, Z, Y Z, X, Y 2.ats Assume a company has three products-A, B, and C-that emerge from a joint process. The joint processing costs that are incurred up to the split-off point equal $1,200,000. The selling prices and outputs for each product at the split-off point are as follows: Product A B С Selling Price $33 per pound $29 per pound $24 per pound Product A B C Each product can be processed further beyond the split-off point. The additional processing costs for each product and their respective selling prices after further processing are as follows: Output 14,000 pounds 18,000 pounds 19,000 pounds Additional Processing Costs $65,000 $72,000 $88,000 Selling Price $37 per pound $34 per pound $30 per pound The company is trying to decide whether to retain or discontinue the entire joint manufacturing process. What is the financial advantage (disadvantage) of continuing to operate the entire joint manufacturing process?