Question

In: Accounting

The Brew House needs to decide which of two coffee maker designs is better environmentally. Using...

The Brew House needs to decide which of two coffee maker designs is better environmentally. Using the following tables, determine which model is the better design alternative.

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      

Brew Master

Part

Resale Revenue per Unit

Recycling Revenue per Unit

Processing Cost per Unit

Disposal Cost per Unit

Metal frame

$1.601.60

$2.862.86

$1.231.23

$0.730.73

Timer

0.550.55

0.500.50

1.551.55

1.461.46

Plug / cord

4.234.23

5.675.67

6.256.25

0.250.25

Coffee pot

2.452.45

2.552.55

2.152.15

1.381.38

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      

Brew Mini

Part

Resale Revenue per Unit

Recycling Revenue per Unit

Processing Cost per Unit

Disposal Cost per Unit

Plastic frame

$1.401.40

$3.293.29

$0.850.85

$0.900.90

Plug / cord

3.903.90

4.404.40

5.215.21

0.000.00

Coffee pot

2.272.27

2.872.87

2.152.15

1.281.28

Revenue retrieval for Brew

Masterequals= $nothing

(round your response to two decimal places).Revenue retrieval for Brew

Miniequals= $nothing

(round your response to two decimal places).The best design alternative is

Brew Mini

Brew Master

.

Solutions

Expert Solution

1 Brew Master
Part Resale Revenue Recycling Revenue Processing cost Disposal cost Revenue retrival per unit
(a) (b) (c) (d) [(a) + (b) - (c) - (d)]
Metal frame $       1.60 $       2.86 $       1.23 $       0.73 $                           2.50
Timer $       0.55 $       0.50 $       1.55 $       1.46 $                          -1.96
Plug / cord $       4.23 $       5.67 $       6.25 $       0.25 $                           3.40
Coffee Pot $       2.45 $       2.55 $       2.15 $       1.38 $                           1.47
Total $       8.83 $    11.58 $    11.18 $       3.82 $                           5.41
Revenue Retrieval for Brew Master = $                           5.41
2 Brew Mini
Part Resale Revenue Recycling Revenue Processing cost Disposal cost Revenue retrival per unit
(a) (b) (c) (d) [(a) + (b) - (c) - (d)]
Plastic frame $       1.40 $       3.29 $       0.85 $       0.90 $                           2.94
Plug / cord $       3.90 $       4.40 $       5.21 0 $                           3.09
Coffee Pot $       2.27 $       2.87 $       2.15 $       1.28 $                           1.71
Total $       7.57 $    10.56 $       8.21 $       2.18 $                           7.74
Revenue Retrieval for Brew Mini = $                           7.74
3 Brew Mini
As Brew mini, generating the more revenue than Brew Master shall be opted.

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