KC Company can sell all of the plush and supreme products it can produce, but it has limited production capacity. It can produce 5 plush units per hour or 3 supreme units per hour, and it has 3,500 production hours available. Contribution margin per unit is $229 for the plush product and $315 for the supreme product. What is the most profitable sales mix for KC Company? Multiple Choice 10,500 plush units and 10.500 supreme units. 10,500 plush units and 3,500 supreme units. 17,500 plush units and 10,500 supreme units. O plush units and 10,500 supreme units. 17.500 plush units and 0 supreme units.

KC Company can sell all of the plush and supreme products it can produce, but it has limited production capacity. It can produce 5 plush units per hour or 3 supreme units per hour, and it has 3,500 production hours available. Contribution margin per unit is $229 for the plush product and $315 for the supreme product. What is the most profitable sales mix for KC Company? Multiple Choice 10,500 plush units and 10.500 supreme units. 10,500 plush units and 3,500 supreme units. 17,500 plush units and 10,500 supreme units. O plush units and 10,500 supreme units. 17.500 plush units and 0 supreme units.

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter7: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 58P: Polaris Inc. manufactures two types of metal stampings for the automobile industry: door handles and...

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Polaris Inc. manufactures two types of metal stampings for the automobile industry: door handles and trim kits. Fixed cost equals 146,000. Each door handle sells for 12 and has variable cost of 9; each trim kit sells for 8 and has variable cost of 5. Required: 1. What are the contribution margin per unit and the contribution margin ratio for door handles and for trim kits? 2. If Polaris sells 20,000 door handles and 40,000 trim kits, what is the operating income? 3. How many door handles and how many trim kits must be sold for Polaris to break even? 4. CONCEPTUAL CONNECTION Assume that Polaris has the opportunity to rearrange its plant to produce only trim kits. If this is done, fixed costs will decrease by 35,000, and 70,000 trim kits can be produced and sold. Is this a good idea? Explain.
Logan Company produces two products, Standard and Premier. Logan can sell all of the Standard and Premier products it can produce, but it has limited production capacity. Machine hours per unit for Standard is 4 hour and for Premier is 6.0 hours. The company has 226,800 machine hours available. Contribution margin per unit is $24 for Standard and $30 for Premier. What is the total contribution margin if Logan chooses the most profitable sales mix? Multiple Choice $1,760,000. $1,360,800. $1,910,000.$2,310,000. $1,300,000. Please don't give solution in image
Logan Company produces two products, Standard and Premier, Logan can sell all of the Standard and Premier products it can produce, but it has limited production capacity. Machine hours per unit for Standard is 1 hour and for Premier is 1.5 hours. The company has 217,080 machine hours available. Contribution margin per unit Is $24 for Standard and $30 for Premier. What is the total contribution margin if Logan chooses the most profitable sales mix? Multiple Choice $7,320,000 $8,840,000 $4,980,000 $5,209,920
Logan Company produces two products, Standard and Premier. Logan can sell all of the Standard and Premier products it can produce, but it has limited production capacity. Machine hours per unit for Standard is 2 hour and for Premier Is 3.0 hours. The company has 220,320 machine hours available. Contribution margin per unit is $24.00 for Standard and $30.00 for Premier. What is the most profitable sales mix for Logan Company? Multiple Choice О 73,440 Standard units and 24.480 Premier units. 18,360 Standard units and 61,200 Premier units. 110,160 Standard units and O Premier units.
XYZ Company sells a product for $250. The variable cost is $150 per unit. The fixed costs are $300,000. The company wants to have a profit of $400,000. How many units do they have to sell to achieve this goal?
Dellcom Inc. sells two products: a regular and a deluxe version. The owner would like to better understand the impact of the sales mix on the company's sales. The following information is available: Regular Deluxe Sales price per unit Variable cost per unit $38 $61 $15 $34 The company has total fixed costs of $384,615 for the year and they sell 9 Regular products for every 4 Deluxe product. The owner would like to know, given the sales mix, how many units of each product the company must sell per year to break even. The company must sell units of the Regular product. Enter the number of units given the current sales mix. The company must sell units of the Deluxe product. Enter the number of units given the current sales mix.
Elliot Company can sell all of its products A and Z that it can produce, but it has limited production capacity. It can produce 8 units of A per hour or 10 units of Z per hour, and it has 20,000 production hours available. Contribution margin per unit is $12 for A and $10 for Z. What is the most profitable sales mix for Elliot Company? 84,000 units of Amand 60,000 units of Z. 48,000 units of A and 80,000 units of Z. 60,000 units of A and 100,000 units of Z. 120,000 units of A and O units of Z. O units of A and 200,000 units of Z.
CABBAGE Company makes three products with the following characteristics: Product Product Product V JK JIN Selling price per unit P10 P15 P20 Variable Cost per unit P6 P10 P10 Machine hours per unit 2 4 10 The company has a capacity of 2,000 machine hours, but there is virtually limited demand for product V of 350 units and product JIN of 560 units. In order to maximize total contribution margin, how many units of each product should the company product for product JK?
Dog Access produces two types of dog doors - Small and Large. The following information is available related to each product: Small Large Sales price per unit $650 $900 Variable costs per unit $150 $200 The Large doors account for 80% of total product sales and the Small doors accounts for the rest. Dog Access' fixed costs are rent ($50,000) and salaries ($235,000). Question 5.1: If Dog Access decides to sell Large doors only, calculate the break-even point in units. Round up to the nearest whole unit. NOTE: Enter only the number of units. For example if your answer is 10 units, enter only "10".
A furniture company manufactures desks and chairs. Each desk uses four units of wood, and each chair uses three units of wood. A desk contributes $250 to profit, and a chair contributes $145. Marketing restrictions require that the number of chairs produced be at least four times the number of desks produced. There are 2,000 units of wood available. Use Solver to maximize the company's profit. a. What is the optimized company's profit? Use SolverTable to see what happens to the decision variables and the total profit when the availability of wood varies from 1,000 to 3,000 in 100-unit increments. Based on your findings, how much would the company be willing to pay for each extra unit of wood over its current 2,000 units? How much profit would the company lose if it lost any of its current 2,000 units? Round the answer to a whole dollar amount.
Logan Company can sell all of the standard and premier products they can produce, but it has limited production capacity. It can produce 6 standard units per hour or 5 premier units per hour, and it has 36,000 production hours available. Contribution margin per unit is $20 for the standard product and $30 for the premier product. What is the most profitable sales mix for Logan Company? rev: 12_18_2020_QC_CS-244914 Multiple Choice 0 standard units and 180,000 premier units. 180,000 standard units and 30,000 premier units. 216,000 standard units and 0 premier units. 36,000 standard units and 150,000 premier units. 150,000 standard units and 55,000 premier units.
Zero, Inc. produces a product that has a variable cost of $6.00 per unit. The company's fixed costs are $42,000. The product sells for $12.00 a unit and the company desires to earn a $21,000 profit. What is the volume of sales in units required to achieve the target profit? (Do not round intermediate calculations.) Multiple Choice 7,000 7,500 3,500 10,500