A company has a new Plant A and an old Plant B in the same metropolitan area, each with a capacity of 12 units of product per month. Fixed expense at A is ₱40,000 per month and at B is ₱20,000 per month. Variable expense per month at A is ₱1,000xN² where N = the number of units produced. At B it is ₱2,000xM² , where M = the number of units produced. At present the sales have been established at 14 units per month with each plant producing 7 units. Should the interplant load be redistributed? Why? How? Show your complete solution

A food processing plant has fixed charges, overhead, and general expenses equal to $3,000,000 and they are independent of production rate. The variable cost of the plant equals to 40% of the total annual sales. Currently the plant operates at 75% capacity and has total annual sales of $8,000,000. The selling price is 10 S/kg, and the income tax is 30%. Calculate: a) the production rate at breakeven point; b) net profit at full capacity

Western Jeans Co. has an annual plant capacity of 2,000,000 units, and current production is 1,920,000 units. Monthly fixed costs are $400,000, and variable costs are $9 per unit. The present selling price is $15 per unit. On July 6 of the current year, the company received an offer from Childs Company for 50,000 units of the product at $13 each. Childs Company will market the units in a foreign country under its own brand name. The additional business is not expected to affect the domestic selling price or quantity of sales of Western Jeans Co. Question Content Area a.  Prepare a differential analysis dated July 6 on whether to reject (Alternative 1) or accept (Alternative 2) the Childs order. If an amount is zero, enter "0". If required, use a minus sign to indicate a loss. Differential AnalysisReject (Alt. 1) or Accept (Alt. 2) OrderJuly 6 Line Item Description Reject Order(Alternative 1) Accept Order(Alternative 2) Differential Effects(Alternative 2) Revenues $Revenues…

ABC Company has made the following projections regarding cost increases: DM will increase by 5%; DL 8%; and 6% for all other costs including fixed costs. The company has the capacity to produce 200,000 units. Consider the following various proposals made by the division managers: a) maintain the current volume and selling price; b) manufacture and sell at capacity and reduce the unit price by ₱2; c) manufacture and sell 180,000 units, increase the unit price by ₱2, and spend an extra ₱300,000 on advertising.   What is the operating income of A, B, and C