Question
In: Math
Safeco company produces two types of chainsaws: The Safecut and the Safecut Deluxe. The Safecut model...
Safeco company produces two types of chainsaws: The Safecut and
the Safecut Deluxe. The Safecut model requires 2 hours to assemble
and 1 hour to paint, and the Deluxe model requires 4 hours to
assemble and one half
hour to paint. The daily maximum number of hours available for
assembly is 32, and the daily maximum number of hours available
for painting is 10. If the profit is $26 per unit on the Safecut
model and $40 per unit on the Deluxe model, how many units of
each type will maximize the daily profit and what will that profit
be?
Solutions
milcah answered 1 year agoRelated Solutions
Smithson, Inc. produces two types of gas grills: a family model and a deluxe model. Smithson’s...
Smithson, Inc. produces two types of gas grills: a family model
and a deluxe model. Smithson’s controller has decided to use a
plantwide overhead rate based on direct labor costs. The president
of the company recently heard of activity-based costing and wants
to see how the results would differ if this system were used. Two
activity cost pools were developed: machining and machine setup.
Presented below is information related to the company’s
operations:
Family
Model Deluxe
Model
Direct labor
costs ...
Smithson, Inc. produces two types of gas grills: a family model and a deluxe model. Smithson’s...
Smithson, Inc. produces two types of gas grills: a family model
and a deluxe model. Smithson’s controller has decided to use a
plantwide overhead rate based on direct labor costs. The president
of the company recently heard of activity-based costing and wants
to see how the results would differ if this system were used. Two
activity cost pools were developed: machining and machine setup.
Presented below is information related to the company’s
operations:
Family Model
Deluxe Model
...
PopUp Company produces two types of toasters, basic and deluxe. For the current period, the company...
PopUp Company produces two
types of toasters, basic and deluxe. For the current period, the
company reports the following data:
Basic Toaster
Deluxe Toaster
Volume
20,000 units
5,000 units
Machine Hours
1,000
2,400
Batches
315
125
Engineering Modifications
20
50
Prime Costs
$20,000
$30,000
Market Price
$25 per unit
$60 per unit
Additional Information
Follows
Costs
Driver
Engineering Support
$15,900
Engineering Modifications
Electricity
25,000
Machine Hours
Setup costs
33,900
Batches
1) Compute the manufacturing
cost per...
Julio produces two types of calculator, standard and deluxe. The company is currently using a traditional...
Julio produces two types of calculator, standard and deluxe. The
company is currently using a traditional costing system with
machine hours as the cost driver but is considering a move to
activity-based costing. In preparing for the possible switch, Julio
has identified two cost pools: materials handling and setup. The
collected data follow:
Standard Model
Deluxe Model
Number of machine hours
26,400
31,400
Number of material moves
620
920
Number of setups
70
570
Total estimated overhead costs are $358,840,...
6. Julio produces two types of calculator, standard and deluxe. The company is currently using a...
6. Julio produces two
types of calculator, standard and deluxe. The company is currently
using a traditional costing system with machine hours as the cost
driver but is considering a move to activity-based costing. In
preparing for the possible switch, Julio has identified two cost
pools: materials handling and setup. The collected data
follow:
Standard Model
Deluxe Model
Number of
machine hours
25,800
30,800
Number of
material moves
590
890
Number of
setups
70
540
Total estimated overhead costs are...
Julio produces two types of calculator, standard and deluxe. The company is currently using a traditional...
Julio produces two types of calculator, standard and deluxe. The
company is currently using a traditional costing system with
machine hours as the cost driver but is considering a move to
activity-based costing. In preparing for the possible switch, Julio
has identified two cost pools: materials handling and setup. The
collected data follow:
Standard Model
Deluxe Model
Number of machine hours
26,000
31,000
Number of material moves
600
900
Number of setups
90
550
Total estimated overhead costs are $344,380,...
A company that manufactures video cameras produces a basic model and a deluxe model. Over the...
A company that manufactures video cameras produces a basic model
and a deluxe model. Over the past year, 32% of the cameras sold
have been of the basic model. Of those buying the basic model, 35%
purchase an extended warranty, whereas 46% of all deluxe purchasers
do so. If you learn that a randomly selected purchaser has an
extended warranty, how likely is it that he or she has a basic
model? (Round your answer to four decimal places.)
Sales and Production Budgets Berring Company produces two products: the deluxe and the standard. The deluxe...
Sales and Production Budgets
Berring Company produces two products: the deluxe and the
standard. The deluxe sells for $40, and the standard sells for $10.
Projected sales of the two models for the coming four quarters are
given below.
Deluxe
Standard
First quarter
11,000
90,000
Second quarter
14,500
88,600
Third quarter
16,800
93,000
Fourth quarter
20,000
91,400
The president of the company believes that the projected sales
are realistic and can be achieved by the company. In the factory,
the...
Sales and Production Budgets Berring Company produces two products: the deluxe and the standard. The deluxe...
Sales and Production Budgets
Berring Company produces two products: the deluxe and the
standard. The deluxe sells for $40, and the standard sells for $10.
Projected sales of the two models for the coming four quarters are
given below.
Deluxe
Standard
First quarter
11,000
90,000
Second quarter
14,500
88,200
Third quarter
16,500
92,000
Fourth quarter
20,000
91,800
The president of the company believes that the projected sales
are realistic and can be achieved by the company. In the factory,
the...
A company sells two products: a standard model and a deluxe model. The standard model sells...
A
company sells two products: a standard model and a deluxe model.
The standard model sells for $50 and has a contribution margin
ratio of 40%. The deluxe model sells for $100 and has a
contribution margin ratio of 50%. Last year, the company sold 5000
standard units and 2500 deluxe units.
There is $200,000 of cost that is “fixed” in the sense that it
does not vary with the number of units produced. However, $100,000
of this cost is...
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