Bram Co makes a breakfast product, the Fruit-bram, and uses throughput accounting. The bottleneck resource is machine hours and 7,000 machine hours are available per year. The following information relates to a batch of Fruit-bram: Throughput contribution Time on bottleneck resource $30.00 0.35 hours $88.57 Cost per factory hour Indicate, by clicking on the relevant boxes in the table below, whether each statement is true or false. The throughput accounting ratio (TPAR) for the Fruit-bram is 1.03 The total factory cost per year is $619,990 TRUE TRUE FALSE FALSE

Bram Co makes a breakfast product, the Fruit-bram, and uses throughput accounting. The bottleneck resource is machine hours and 7,000 machine hours are available per year. The following information relates to a batch of Fruit-bram: Throughput contribution Time on bottleneck resource $30.00 0.35 hours $88.57 Cost per factory hour Indicate, by clicking on the relevant boxes in the table below, whether each statement is true or false. The throughput accounting ratio (TPAR) for the Fruit-bram is 1.03 The total factory cost per year is $619,990 TRUE TRUE FALSE FALSE

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter2: Basic Cost Management Concepts

Section: Chapter Questions

Problem 7CE: Jean and Tom Perritz own and manage Happy Home Helpers. Inc. (HHH), a house-cleaning service. Each...

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