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2 years ago

Dietrick Corporation produces and sells two products. Data concerning those products for the most recent month appear below:

Business

1 answer:

mrs_skeptik [129]2 years ago

3 0

Answer:

b. $69,754

Explanation:

contribution = sales - variable cost

for Product B32L:

contribution = sales - variable cost

= 46,000 - 13800

= $32,200

for Product K84B:

contribution = sales - variable cost

= 27,000 - 14,670

= $12,330

total sales of the company = 46,000 + 27,000

= $73,000

total contribution of the company = $32,200 + $12,330

= $44,530

cotribution margin ratio = contribution/sales

= 44530/73000

= 0.61

break even point = fixed cost/cotribution margin ratio

= 42550/0.61

= $69,754

Therefore, The The break-even point for the entire company is closest to $69,754.

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Barclay Enterprises manufactures and sells three distinct styles of bicycles: the Youth model sells for $300 and has a unit cont

FinnZ [79.3K]

Answer:

Selling price per composite unit shall be = $15,150

Explanation:

Provided information,

There are three models,

Youth, Adult and Recreational

Details for each product are:

Youth Selling Price per unit = $300

Adult Selling Price per unit = $850

Recreational Selling Price per unit = $1,000

Sales mix is as follows:

Youth = 5, hence Selling Value = 5 $\times$ $300 = $1,500

Adult = 9, hence Selling Value = 9 $\times$ $850 = $7,650

Recreational = 6, hence Selling Value = 6 $\times$ $1,000 = $6,000

Total Selling Value per sales mix = $1,500 + $7,650 + $6,000 = $15,150

Company's annual fixed cost = $6,500,000

Selling price per composite unit shall be = $15,150

7 0

1 year ago

Solar Innovations Corporation bought a machine at the beginning of the year at a cost of $42,000. The estimated useful life was

inysia [295]

Answer:

Depreciation schedule for :

Straight-line Units-of-production Double-declining-balance

Year 1 $ 7,400 $8,325 $16,800

Year 2 $ 7,400 $10,175 $10,080

Year 3 $ 7,400 $8,325 $6,048

Year 4 $ 7,400 $8,325 $3,629

Year 5 $ 7,400 $1,850 $2,177

Straight Line Method will result in the highest Net Income. This is because it provides for the lowest charge of depreciation expense

Explanation:

Straight-line

Straight line method charges the same amount of depreciation (fixed on cost) over the useful life of an asset.

Depreciation Charge = (Cost - Residual Value) ÷ Estimated Useful Life

= ($42,000 - $5,000) ÷ 5

= $ 7,400

Annual Straight line Depreciation Charge

Year 1 = $ 7,400

Year 2 = $ 7,400

Year 3 = $ 7,400

Year 4 = $ 7,400

Year 5 = $ 7,400

Units of Production

Depreciation Charge = (Cost - Residual Value) / Total Expected Production × Period`s Production

Therefore,

Depreciation Charge = Rate of depreciation × Period`s Production

then,

Rate of depreciation = ($42,000 - $5,000) / 20,000 units

= $1.85 per unit of production

Annual Units of Production Deprecation Charge

Year 1 = 4,500 units × $1.85 = $8,325

Year 2 = 5,500 units × $1.85 = $10,175

Year 3 = 4,500 units × $1.85 = $8,325

Year 4 = 4,500 units × $1.85 = $8,325

Year 5 = 1,000 units × $1.85 = $1,850

Double-declining-balance.

Depreciation Expense = 2 × SLDP × BVSLDP

Where,

SLDP = 100 ÷ Number of useful life

= 100 ÷ 5

= 20 %

Annual Double-declining-balance Expense

Year 1 = 2 × 20% × $42,000

= $16,800

Year 2 = 2 × 20% × ($42,000 - $16,800)

= $10,080

Year 3 = 2 × 20% × ($42,000 - $16,800 - $10,080)

= $6,048

Year 4 = 2 × 20% × ($42,000 - $16,800 - $10,080 - $6,048)

= $3,629

Year 5 = 2 × 20% × ($42,000 - $16,800 - $10,080 - $6,048- $3,629)

= $2,177

3 0

2 years ago

Per Chevron’s 3Q 2013 filing, what was the percentage change in the cost of purchased oil products when comparing nine months en

zalisa [80]

Answer:

Per Chevron 3Q 2013 Filling:

The percentage change in the cost of purchased oil products nine months to September 30, 2013 when compared to nine months in 2012 was:

2.47%

Explanation:

a) Data and Calculations:

Cost of purchased oil products:

2013 $34,822,000,000

2012 $33,982,000,000

Change $840,000,000

Percentage Change = $840/$33,982 x 100

= 2.47%

b) The implication is that Chevron's cost of purchased oil products in third quarter of 2013 increased by 2.47% when compared with the same period in 2012. This percentage change is calculated by subtracting the Q3 2012 cost of purchased oil products from the Q3 2013 cost of purchased oil products and then dividing the difference by the Q3 2012, and multiplying by 100. The change could be caused by increases in the price of oil products or other variables.

5 0

2 years ago

Bethany wants to buy a pair of designer boots. To find the best price, she searches the Internet and compares prices among the e

viva [34]

Answer:

The bargaining power of customers .

Explanation:

As Bethany wants to buy a pair of designer boots and to find the best price, she searches the Internet and compares prices among the eight sites that sell the boots, she is using the bargaining power of buyers or customers from the Porter's five competitive forces. This force illustrates that customers are definitely have many options available with them for buying a particular product. Customers will be having much power when the number of available options increases because it becomes very easy for the customers to choose from those options or they can switch to some other seller quite easily and quickly in this case. Conversely, consumers will have less power when there are only fewer options present in the market. In this case Bethany has 8 different web sites present in front of her and with the single click of mouse button and flick of her fingers, she can easily compare the prices and options, that's why she can practice her bargaining power.

6 0

1 year ago

Manufacturing cost data for Orlando Company, which uses a job order cost system, are presented below. Indicate the missing amoun

mafiozo [28]

Answer:

a= 54796

h= 80,824

d=117916

i=67915.68

e=$ 352196

b= 58,800

f= 373496

j= 234500

c= 15100

k= 1900

g=3721596

Explanation:

Orlando Company

Manufacturing Cost Data

Case A Case B Case C

Direct materials used (a) $91,200 $69,000

a=149,800 - 42,804- 52,200 54796

Direct labor 52,200 143,800 (h)

$69,000 +x+0.82h= 216100

1.82h= 216100-69000

h= 147100/1.82= 80,824 80,824

Manufacturing overhead applied 42,804 (d) (i)

d=82% of 143,800=117916 117916

i=82% of 80824 = 67915.68 67915.68

Total manufacturing costs 149,800 (e) 216,100

e=$91,200+ 143,800+ 117916 352196

Work in process 1/1/14 (b) 21,300 18,400

b=208,600- 149,800 58,800

Total cost of work in process 208,600 (f) (j)

f=352196+ 21,300 373496

j=216,100 + 18,400 234500

Work in process 12/31/14 (c) 11,900 (k)

c=208,600 - 193,500 15100

k=234500 -232,600 1900

Cost of goods manufactured 193,500 (g) 232,600

g=373496- 11,900 3721596

The formulas used are given below.

Total Manufacturing Cost = Direct Materials + Direct Labor + Factory Overheads

Total cost of work in process= Total manufacturing costs+ Opening Work in process

Cost of goods manufactured= Total cost of work in process - Closing Work in process

In each of these if two amounts are known we can find the third one.We can also do rearrange these to find the required amounts.The calculation of each of the missing amount has been done next to it.

5 0

2 years ago