The net advantage (disadvantage) of processing Sweet Meats further is Multiple Choice a $25,000 advantage to process further.
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- MMM Inc. manufactures unpainted furniture. It currently sells for 25. Production cost per unit are 12 variable and 8 fixed. The Company is considering painting the product and sell it for 35. Additional variable cost to paint each product is expected to be 9 and fixed cost is expected to be 2. What is the amount of incremental benefit or (cost) if the product is processed further as painted furniture?A company has a process that results in 980 kilograms of Product X that can be sold for $9 per kilogram. An alternative would be to process Product X further at a cost of $1960 and then sell it for $16 per kilogram. Should management sell Product X now or should Product X be processed further and then sold? Process further; the company will be better off by $4900. Sell now; the company will be better off by $4900. Process further; the company will be better off by $6860. Sell now; the company will be better off by $8820.Mesa Cheese Company has developed a new cheese slicer called Slim Slicer. The company plans to sell this slicer through its online website. Given market research, Mesa believes that it can charge $20 for the Slim Slicer. Prototypes of the Slim Slicer, however, are costing $22. By using cheaper materials and gaining efficiencies in mass production, Mesa believes it can reduce Slim Slicer's cost substantially. Mesa wishes to earn a return of 40% of the selling price. (b) When is target costing particularly helpful in deciding whether to produce a given product?
- GadubhaiDake Bakery is purchasing heavy cream from an outside suppliers. The comapny's dairy division, which has no excess capacity, makes and sells heavy cream at a variable cost of $32 per gallon and a selling price of $59 per gallon. If the dairy division begins sales to the bakery, it willl use the general transfer pricing rule and will be able to reduce vvariable cost on internal transfer by $5 per gallon. How much is the minimum transfer price per gallon that the dairy division should establish?1. What is the payback period for the flexible manufacturing system? 2. What is the NPV for the flexible manufacturing system? (use 3 decimal places for the PV factor) 3. What is the IRR for the flexible manufacturing system?
- It costs Bonita Industries $28 of variable costs and $13 of allocated fixed costs to produce an industrial trash can that sells for $64. A buyer in Mexico offers to purchase 5000 units at $31 each. Bonita Industries has excess capacity and can handle the additional production. What effect will acceptance of the offer have on net income? Select answer from the options below 1. Increase $155000 2. Increase $50000 3. Decrease $50000 4. Increase $15000Solve 2, the first answer is the wrong. Find the lowest acceptable transfer price.Two alternative locations are under consideration for a new plant: Jackson, Mississippi, and Dayton, Ohio. The Jackson location is superior in terms of costs. However, management believes that sales volume would decline if this location were chosen because it is farther from the market, and the firm's customers prefer local suppliers. The selling price of the product is $375 per unit in either case. Use the following information to determine which location yields the higher total profit per year: Location Jackson Dayton Annual Fixed Cost $2,100,000 $3,000,000 Variable Cost per Unit $45 $80 Forecasted Demand per Year 40,000 units 39,000 units The annual profit from Jackson is $8575000. (Enter your response as an integer.)
- Novak & Sons produces tomato juice and tomato puree from fresh tomatoes grown by local farmers. The company purchases large crates of tomatoes and then washes, sorts, scalds, peels, and crushes them, at which point the juice and the pulp are separately identifiable. Novak currently processes the pulp further to transform it into his great-great-grandmother's secret-recipe spaghetti sauce. The specifics on each of these products for one month are as follows. Joint processing costs Quantity of tomato juice produced Value of tomato juice Quantity of tomato puree produced Additional cost to make spaghetti sauce Final sales value of spaghetti sauce (a) Your answer is correct. Allocated joint costs LA $154,000 Juice 10,000 gallons Using the NRV method for allocating joint costs, specify how much joint cost will be allocated to the juice and to the puree/spaghetti sauce. (Round proportion to 4 decimal places, e.g. 0.2516 and final answers to 2 decimal places, e.g. 15.25.) $3 per gallon 16,000…Can you help me do this quickly, thanks a. The constraint at Shanghai Company is an expensive milling machine. The three products listed below use this constrained resource.Required (show your calculations):i. Rank the products in order of their current profitability from the most profitable to the least profitable. ii. Assume that sufficient constraint time is available to satisfy the demand for all but the least profitable product. Up to how much should the company be willing to pay to acquire more of the constrained resource. Explain your answer.hello, help please