Sunland Inc. produces three separate products from a common process costing $100,100. Each of the products can be sold at the split- off point or can be processed further and then sold for a higher price. Shown below are cost and selling price data for a recent period. Product 10 Product 12 Product 14 (c) Your answer is partially correct. Product Product 10 Product 12 $ Sales Value at Split-Off Point $59,700 15,800 $ 55,400 Product 14 $ Cost to Process Further Calculate incremental profit/(loss) and determine which products should be sold at the split-off point and which should be processed further. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Incremental profit (loss) $100,100 30,800 149,700 Sales Value after Further Processing $191,000 34,700 Decision 214,000 Should be processed further Should be sold at the split-off point Should be processed further

Sunland Inc. produces three separate products from a common process costing $100,100. Each of the products can be sold at the split- off point or can be processed further and then sold for a higher price. Shown below are cost and selling price data for a recent period. Product 10 Product 12 Product 14 (c) Your answer is partially correct. Product Product 10 Product 12 $ Sales Value at Split-Off Point $59,700 15,800 $ 55,400 Product 14 $ Cost to Process Further Calculate incremental profit/(loss) and determine which products should be sold at the split-off point and which should be processed further. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Incremental profit (loss) $100,100 30,800 149,700 Sales Value after Further Processing $191,000 34,700 Decision 214,000 Should be processed further Should be sold at the split-off point Should be processed further

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

3C AND 3D
Salvador Manufacturing builds and sells snowboards, skis and poles. The sales price and variable cost for each follows: Product Selling Priceper Unit Variable Costper Unit Snowboards $340 $150 Skis $380 $200 Poles $60 $30 Their sales mix is reflected in the ratio 7:3:2. If annual fixed costs shared by the three products are $250,900. Determine the break-even point in sales dollars. Break-even point $fill in the blank 1
Zeta Company sells a single product with a selling price of $300 per unit. Per unit variable costs are $82.00 and total fixed costs are $127,500. The number of units Zeta needs to sell to achieve its target profit of $50,000 is closest to: 610 814 a. b. C. d. 1,555 2,165
Bates Company plans to add a new item to its line of consumer product offerings. Two possible products are under consideration. Each unit of Product A costs $18 to produce and has a contribution margin of $9, while each unit of Product B costs $30 and has a contribution margin of $10. What is the differential revenue for this decision? Multiple Choice O O $21 $1 $13 $12
Please help me with correct answer thanku
Edgewater Enterprises manufactures two products. Information follows: Product A Product B Sales price $ 12.00 $ 15.25 Variable cost per unit $ 6.20 $ 6.90 Product mix 30% 70% M6-17 [LO 6-6] es Required: Calculate Edgewater's weighted-average contribution margin per unit. Note: Round your intermediate calculations and final answer to 2 decimal places. Weighted average CM per unit
Manatoah Manufacturing produces 3 models of window air conditioners: model 101, model 201, and model 301. The sales price and variable costs for these three models are as follows: Sales Price Variable Cost per Unit Product per Unit $275 350 395 Model 101 Model 201 Model 301 The current product mix is 4:3:2. The three models share total fixed costs of $657,000. $180 215 240 A. Calculate the sales price per composite unit. Sales price $ B. What is the contribution margin per composite unit? Contribution margin $ per composite unit Break-even point in dollars $ Break-even point in units per composite unit. C. Calculate Manatoah's break-even point in both dollars and units. units
Please do not give solution in image format thanku
5
Division A of SLG Company produces a part it sells to other companies. Sales and cost data for the part are as follows: Capacity in units 60,000 units Selling price per unit O $27 per unit O $39 per unit O $36 per unit O $41 per unit Variable cost per unit O None of the above. Fixed cost per unit at capacity Division B, another division of SLG Company, would like to buy this part from Division A. Division B is currently purchasing the part from an outside source at $38 per unit. If Division A sells to Division B, then $1 in Division A's variable costs can be avoided. Assume Division A has enough idle capacity to handle all of Division B's needs without any increase in fixed costs and without interfering with outside sales. According to the transfer pricing guidelines, what is the lowest acceptable transfer price from the perspective of Division A? $40 per unit $28 per unit $9 per unit
Pau, Inc., which has fixed costs of $88,333, sells two products whose sales price, variable cost per unit, and percentage of sales units are presented in the table below. Product A Product B $ 22 $ 9 40 % Sales Price $ $ 17 Variable Cost Sales Mix 60% How many units of Product B must Pau sell to break even Do not round intermediate calculations. Round your final answer to the nearest whole number.