NUBD manufactures specialty components for the electronics industry in a highly labor intensive environment. ABC Electronics has asked Lake to bid on a component that NUBD made for ABC last month. The previous order was for 80 units and required 160 hours of direct labor to manufacture. ABC would now like 560 additional components. NUBD experiences an 80% learning curve on all of its jobs. The number of direct labor hours needed for NUBD to complete the 560 additional components is 360.0 187.2 307.2 495.36
Q: Alibangbang Company produces 100,000 units of Part 34B, used in one of its snowblower engines, each…
A: Variable cost means the cost which vary with the level of output where as fixed cost remain fixed…
Q: Jean Sharpe decides to gather additional data to identify the cause of overhead costs and figure out…
A: The question is based on the concept of Cost Accounting.
Q: NUBD manufactures specialty components for the electronics industry in a highly labor intensive…
A: y=average time per unit of X units a=time required for first unit x=cumulative number of units…
Q: Mapple, Inc. is a smart phone manufacturer. Each month, to make its smart phones, the firm also…
A: Relevant cost per unit = Direct materials + Direct labor + Variable OH + Avoidable Fixed OH =…
Q: coated with corrosive protection. Each production department works two8-hour shifts, 5days per week.…
A: A small manufacturer of small metal components is planning its production for next month. The…
Q: your company uses a total of 20,000 units of a part that are produced and used every year. The…
A: No of Units to be produced 20000 Outside supplier's price of a part $ 35 If the produced part…
Q: Otero Fibers, Inc., specializes in the manufacture of synthetic fibers that the company uses in many…
A: Calculate the minimum price per blanket that Otero Fibers could bid without reducing the company's…
Q: Peluso Company, a manufacturer of snowmobiles, is operating at 70% of plant capacity. Peluso's plant…
A: Total manufacturing cost for a product consist of cost of direct materials, direct labor and…
Q: Brees, Inc., a manufacturer of golf carts, has just received an offer from a supplier to provide…
A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…
Q: The F Inc.’s materials manager is considering the installation of a just-in-time (JIT) inventory…
A: Cost function is a function that is used to show how production expense will change at different…
Q: Every year Blue Industries manufactures 7,300 units of part 231 for use in its production cycle. The…
A: a) Compute the total relevant cost to make part 231:
Q: AbC Company is a Contracting Company that builds custom- made boats. It received from Marvelous…
A: Total costs of manufacturing includes costs of direct materials, direct labour and overhead costs…
Q: Jobs, Inc. has recently started the manufacture of Tri-Robo, a three-wheeled robot that can scan a…
A: Make or buy decision is the decision that is associated with the manufacturing the product or…
Q: Vernon Company manufactures molded candles that are finished by hand. The company developed the…
A:
Q: NUBD manufactures specialty components for the electronics industry in a highly labor intensive…
A: 1 batch=80 units, total batches=8 the usual learning curve model is y=a(x^b) y = Average time per…
Q: rieling Company installs granite countertops in customers' homes. First, the customer chooses the…
A: Given, Direct labor is $1,000 Direct Material is $1,900 Additional DM is $400 Additional DL is $100
Q: Sifton Electronics Corporation manufactures and assembles electronic motor drives for video cameras.…
A: Conversion costs are those costs which are incurred by manufacturing companies when converting raw…
Q: Toyang Inc. produces 100,000 units of Part 34B, used in one of its snowblowerengines, each year. An…
A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: Clifford, Inc. currently manufactures 1,500 subcomponents in one of its factories. The current unit…
A: Increase(decrease) in profit on purchasing from outside supplier = (Relevant cost per unit -…
Q: National Co. manufactures specialty components for the electronics industry in a highly labor…
A: Solution Given Time required for 80 units 150 hours Additional unit required 240 units…
Q: Antz is a custom manufacturer of electronic circuit boards. Antz develops bids for jobs based on an…
A:
Q: NUBD manufactures specialty components for the electronics industry in a highly labor intensive…
A: y=average time pre unit for x units a=time required for first unit x=cumulative number of…
Q: rea manufactures specialty components for the electronics industry in a highly labor intensive…
A: solution: given learning curve = 80% learning index at 80% = -0.322 labor hour for 1 batch of…
Q: Jean Sharpe
A: it is based on the concept of cost accounting; Cost accounting could be a style of social control…
Q: Bordome Company produces component A1 for use in one of its electronic gadgets. Normal annual…
A:
Q: Chips, Inc. has developed a new production process to manufacture its product. The new process is…
A: Y = aXb Here, Y = Cumulative Average Time Per Unit a = Time taken to produce first unit i.e. 100…
Q: Old Camp Company manufactures awnings for its own line of tents. The company is currently operating…
A: Formulas:
Q: hafford Inc. currently manufactures 2000 subcomponents in one of its factories. The unit costs to…
A: In this question, we are required to calculate the percentage (%) of increase that Chafford Inc, can…
Q: Ingles Corporation is a manufacturer of tables sold to schools, restaurants, hotels, and other…
A: Budgets are the estimates or forecasts which are made for future period. Production budget shows how…
Q: Erie Company manufactures a mobile fitness device called a Jogging Mate. The company uses standards…
A: Computation of standard labor hours allowed to make 20,000 Jogging mates: Standard hours required =…
Q: he Heater product and 3,400 on the Massager. Younger's total material handling costs are $2,000,000…
A: manufactures recliners for the hotel industry overhead would be assigned to the Heater product…
Q: Marshall Co. produced a pilot run of forty units of a recently developed piston used in one of its…
A: Due to the learning curve, as the number of units doubles, the manufacturing time for each unit will…
Q: The owner of Warwick Printing is planning direct labor needs for the upcoming year. The owner has…
A: The labor cost is computed by multiplying the labor time consumed by the hourly rate.
Q: Which statement is true with regard to this situation?
A: Given information is: Samson Designers produces a lady’s handbag that normally sells for $120. The…
Q: Antz is a custom manufacturer of electronic circuit boards. Antz develops bids for jobs based on an…
A: Overheads based on Labor Hours Job 1 ( 2,50,000 x 0.50 x 700/1300) = 67,308 Job 2 (2, 50,000 x 0.50…
Q: After reviewing the new activity-based costing system that Nancy Chen has implemented at IVC's…
A:
Q: XYZ company makes 2 products and is now considering adopting an ABC approach to allocating their…
A: Assembly cost per machine hour = $300,00015,000 + 5,000 = $15 per machine hour Quality control…
Q: XYZ Co. uses a 5,000 square foot factory space that it rents for $3,500 a month for all its…
A: Solution: Factory overhead is defined as the costs incurred during the procedure of manufacturing,…
Q: Old Camp Company manufactures awnings for its own line of tents. The company is currently operating…
A: The question is based on the concept of Cost Accounting.
Q: Frieling Company installs granite countertops in customers' homes.First, the customer chooses the…
A: Job costing is the type of costing which is used for determining the costs when each unit produced…
Q: Sifton Electronics Corporation manufactures and assembles electronic motor drives for video cameras.…
A: Conversion Cost: The cost incurred by any industrial organisation in the process of transforming raw…
Q: Old Camp Company manufactures awnings for its own line of tents. The company is currently operating…
A: Make or buy decision: This type of decision is generally considered when a component can be bought…
Q: ing Company installs granite countertops in customers' homes. First, the customer chooses the…
A: 2) Prepare a Journal Entry for Overhead Control Account: Calculate the rework cost: Calculate the…
Q: Silven Company has identified the following overhead activities, costs, and activity drivers for the…
A: Manufacturing overhead: It is the indirect cost incurred as a part of manufacturing the products.…
Q: Muspest Supplies is currently evaluating the cost of manufacturing some of the components utilised…
A: Relevant cost is the cost which is relevant in decision making. Total number of parts per month…
Q: Blossom Inc. manufactures two electronic products, widgets and gadgets, and has a capacity of 2,700…
A: CM stands for Contribution margin which refers to the per unit or gross basis and it states the…
Q: Every year Blue Industries manufactures 7,300 units of part 231 for use in its production cycle. The…
A: Relevant costs: These are the costs a business computes to decide whether to continue or close a…
Q: Frieling Company installs granite countertops in customers' homes. First, the customer chooses the…
A: NOTE : As per BARTLEBY guidelines, when multiple questions are given then first question is to be…
NUBD manufactures specialty components for the electronics industry in a highly labor intensive environment. ABC Electronics has asked Lake to bid on a component that NUBD made for ABC last month. The previous order was for 80 units and required 160 hours of direct labor to manufacture. ABC would now like 560 additional components. NUBD experiences an 80% learning curve on all of its jobs. The number of direct labor hours needed for NUBD to complete the 560 additional components is
- 360.0
- 187.2
- 307.2
- 495.36
Step by step
Solved in 2 steps
- Brees, Inc., a manufacturer of golf carts, has just received an offer from a supplier to provide 2,600 units of a component used in its main product. The component is a track assembly that is currently produced internally. The supplier has offered to sell the track assembly for 66 per unit. Brees is currently using a traditional, unit-based costing system that assigns overhead to jobs on the basis of direct labor hours. The estimated traditional full cost of producing the track assembly is as follows: Prior to making a decision, the companys CEO commissioned a special study to see whether there would be any decrease in the fixed overhead costs. The results of the study revealed the following: 3 setups1,160 each (The setups would be avoided, and total spending could be reduced by 1,160 per setup.) One half-time inspector is needed. The company already uses part-time inspectors hired through a temporary employment agency. The yearly cost of the part-time inspectors for the track assembly operation is 12,300 and could be totally avoided if the part were purchased. Engineering work: 470 hours, 45/hour. (Although the work decreases by 470 hours, the engineer assigned to the track assembly line also spends time on other products, and there would be no reduction in his salary.) 75 fewer material moves at 30 per move. Required: 1. Ignore the special study, and determine whether the track assembly should be produced internally or purchased from the supplier. 2. Now, using the special study data, repeat the analysis. 3. Discuss the qualitative factors that would affect the decision, including strategic implications. 4. After reviewing the special study, the controller made the following remark: This study ignores the additional activity demands that purchasing would cause. For example, although the demand for inspecting the part on the production floor decreases, we may need to inspect the incoming parts in the receiving area. Will we actually save any inspection costs? Is the controller right?Salley is developing material and labor standards for her company. She finds that it costs $0.55 per pound of material per widget. Each widget requires 6 pounds of material per widget. Salley is also working with the operations manager to determine what the standard labor cost is for a widget. Upon observation, Salley notes that it takes 3 hours in the assembly department and 1 hour in the finishing department to complete one widget. All employees are paid $10.50 per hour. A. What is the standard materials cost per unit for a widget? 8. What is the standard labor cost per unit for a widget?NUBD manufactures specialty components for the electronics industry in a highly labor intensive environment. ABC Electronics has asked Lake to bid on a component that NUBD made for ABC last month. The previous order was for 80 units and required 160 hours of direct labor to manufacture. ABC would now like 560 additional components. NUBD experiences an 80% learning curve on all of its jobs. The number of direct labor hours needed for NUBD to complete the 560 additional components is?
- Frea manufactures specialty components for the electronics industry in a highly labor intensive environment. ABC Electronics has asked Lake to bid on a component that Frea made for ABC last month. The previous order was for 80 units and required 160 hours of direct labor manufacture. ABC would now like 560 additional components. NUBD experiences an 80% learning curve on all of its jobs. The number of direct labor hours needed for Frea to complete the 560 additional components is?National Co. manufactures specialty components for the electronics industry in a highly labor intensive environment. Filipina Electronics has asked National to bid on a component that National made for Filipina last month. The previous order was for 80 units and required 150 hours of direct labor to manufacture. Filipina would now like 240 additional components. National experiences an 80% learning curve on all of its jobs. The number of direct labor hours needed for National to complete the 240 additional components is 360.0 187.2 307.2 234In its production process, Purple Tree Inc uses a specialized part in the manufacturing of their fancy widget. The costs to make a part are: direct material, $15; direct labor, $27; variable overhead, $15; and applied fixed overhead, $32. Purple Tree has received a quote of $60 from a potential supplier for this part. If Purple Tree buys the part, 75 percent of the applied fixed overhead would continue. They need 12,000 units of the specialized part. Purple Tree Company would be better off by Group of answer choices $60,000 to buy the part. $348,000 to buy the part. $30,000 to manufacture the part. $216,000 to manufacture the part.
- Irene Corporation manufactures three lines of decorative cabinets for stereo and television sets. Skill is required of the workers and it is not easy to hire persons qualified for the work. At the present time, there are 15 qualified employees (all regular workers) available for this type of work and new personnel are to be hired and trained for the busy first six months of 2021. Each employee works approximately 150 hours a month and is paid the rate of P100 per hour. Production plans based on anticipated sales demand, are given next page in units for each of the three lines of cabinets.Marvel Parts, Incorporated, manufactures auto accessories. One of the company’s products is a set of seat covers that can be adjusted to fit nearly any small car. The company has a standard cost system in use for all of its products. According to the standards that have been set for the seat covers, the factory should work 990 hours each month to produce 1,980 sets of covers. The standard costs associated with this level of production are: Total Per Set of Covers Direct materials $ 45,738 $ 23.10 Direct labor $ 6,930 3.50 Variable manufacturing overhead (based on direct labor-hours) $ 3,168 1.60 $ 28.20 During August, the factory worked only 1,000 direct labor-hours and produced 2,500 sets of covers. The following actual costs were recorded during the month: Total Per Set of Covers Direct materials (10,000 yards) $ 56,000 $ 22.40 Direct labor $ 9,250 3.70 Variable manufacturing overhead $ 4,500 1.80 $ 27.90 At standard, each set of covers…Jean Sharpe decides to gather additional data to identify the cause of overhead costs and figure out which products are most profitable. She notices that $30,000 of the overhead originated from the equipment used. She decides to incorporate machine-hours into the overhead allocation base to determine the effect on product profitability. Almond Dream requires 2 machine-hours per case, Krispy Krackle requires 7 hours per case, and Creamy Crunch requires 6 hours per case. Additionally, Jean notices that the $15,000 per month spent to rent 10,000 square feet of factory space accounts for almost 22 percent of the overhead. The assignment of square feet is 1,000 to Almond Dream, 4,000 to Krispy Krackle, and 5,000 to Creamy Crunch. Jean decides to incorporate this into the allocation base for the rental costs. Because labor-hours are still an important cost driver for overhead, Jean decides that she should use labor-hours to allocate the remaining $24,500. CBI still plans to produce 1,000…
- Marvel Parts, Incorporated, manufactures auto accessories. One of the company's products is a set of seat covers that can be adjusted to fit nearly any small car. The company has a standard cost system in use for all of its products. According to the standards that have been set for the seat covers, the factory should work 990 hours each month to produce 1,980 sets of covers. The standard costs associated with this level of production are: Direct materials Total $ 45,738 Direct labor $ 6,930 Per Set of Covers $ 23.10 3.50 Variable manufacturing overhead (based on direct labor-hours) $ 3,168 1.60 $ 28.20 During August, the factory worked only 1,000 direct labor-hours and produced 2,500 sets of covers. The following actual costs were recorded during the month: Direct materials (10,000 yards) Direct labor Variable manufacturing overhead Total $ 56,000 $ 9,250 $ 4,500 Per Set of Covers $22.40 3.70 1.80 $ 27.90 At standard, each set of covers should require 3.3 yards of material. All of the…Jean Sharpe decides to gather additional data to identify the cause of overhead costs and figure out which products are most profitable. She notices that $30,000 of the overhead originated from the equipment used. She decides to incorporate machine-hours into the overhead allocation base to determine the effect on product profitability. Almond Dream requires 2 machine-hours per case, Krispy Krackle requires 7 hours per case, and Creamy Crunch requires 6 hours per case. Additionally, Jean notices that the $15,000 per month spent to rent 10,000 square feet of factory space accounts for almost 22 percent of the overhead. The assignment of square feet is 1,000 to Almond Dream, 4,000 to Krispy Krackle, and 5,000 to Creamy Crunch. Jean decides to incorporate this into the allocation base for the rental costs. Because labor-hours are still an important cost driver for overhead, Jean decides that she should use labor-hours to allocate the remaining $24,500. CBI still plans to produce 1,000…Jean Sharpe decides to gather additional data to identify the cause of overhead costs and figure out which products are most profitable. She notices that $30,000 of the overhead originated from the equipment used. She decides to incorporate machine-hours into the overhead allocation base to determine the effect on product profitability. Almond Dream requires 2 machine-hours per case, Krispy Krackle requires 7 hours per case, and Creamy Crunch requires 6 hours per case. Additionally, Jean notices that the $15,000 per month spent to rent 10,000 square feet of factory space accounts for almost 22 percent of the overhead. The assignment of square feet is 1,000 to Almond Dream, 4,000 to Krispy Krackle, and 5,000 to Creamy Crunch. Jean decides to incorporate this into the allocation base for the rental costs. Because labor-hours are still an important cost driver for overhead, Jean decides that she should use labor-hours to allocate the remaining $24,500. CBI still plans to produce 1,000…