1.How many units of scooters, best calls, and rollerblades should summertime Inc. produce? 2.What is the maximum amount summertime and corporate would be willing to pay for another 1200 additional units of fun? info: The demand for the products far exceeds the direct materials available to produce the products. Fun cost $2 per pound and a maximum of 7975 pounds is available each month. Summertime Inc. must produce a minimum of 175 units of each product

1.How many units of scooters, best calls, and rollerblades should summertime Inc. produce? 2.What is the maximum amount summertime and corporate would be willing to pay for another 1200 additional units of fun? info: The demand for the products far exceeds the direct materials available to produce the products. Fun cost $2 per pound and a maximum of 7975 pounds is available each month. Summertime Inc. must produce a minimum of 175 units of each product

Name: 1.How many units of scooters, best calls, and rollerblades should summ
Uploaded: 2024-03-20T06:32:49.000Z
Channel: Bartleby
Description: 1.How many units of scooters, best calls, and rollerblades should summertime Inc. produce?2.What is the maximum amount summertime and corporate would be willing to pay for another 1200 additional units of fun?info: The demand for the products far exc

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter10: Short-term Decision Making

Section: Chapter Questions

Problem 4EB: Dimitri Designs has capacity to produce 30,000 desk chairs per year and is currently selling all...

See similar textbooks

Similar questions

The demand for the products far exceeds the direct materials available to produce the products. Brac costs $9 per pound, and a maximum of 5,000 pounds is available each month. Wechsler must produce a minimum of 200 units of each product. 1. How many units of product A130, B324, and C587 should Wechsler produce? 2. What is the maximum amount Wechsler would be willing to pay for another 1,200 pounds of Brac?
What is the cycle time or a production will be made how often, that is associated with the EPQ from question 17? A toy manufacturer uses 100,000 rubber wheels per year for its dump truck series. The firm makes its own wheels, which it can produce at a rate of 12,000 per day. The toy trucks are assembled uniformly over the entire year. Carrying costs is $2 per wheel a year. Setup cost for a production run of wheels is $75. The firm operates 240 days per year. D = 100,000 wheels/year S = $75 H = $2 per wheel/year p = 12,000 wheels/day u = 100,000 wheels per 240 days or 417 wheels/day 1 3 7 15
A furniture company manufactures desks and chairs. Each desk requires 29 hours to manufacture and contributes $400 to profit, and each chair requires 19 hours to manufacture and contributes $250 to profit. Due to marketing restrictions, a total of 2000 hours are available. Use Solver to maximize the company’s profit. What is the maximum profit? How many desks and chairs should the company manufacture? Of the 2000 available hours, how many hours will be used?
Maple Incorporated manufactures a product that costs $33 per unit plus $45,000 in fixed costs each month. Maple currently sells 4,000 of these units per month for $63 each. If Maple leased a machine for $12,000 a month, it could add features to the product that would allow it to increase the selling price. It would cost an additional $8 per unit to add these features. How much would Maple have to charge for the product with additional features to make it worthwhile to lease the machine?
I need answers to question 4 and 5. Please make it very clear. Neptune Company has developed a small inflatable toy that it is anxious to introduce to its customers. The company’s Marketing Department estimates that demand for the new toy will range between 10,000 units and 35,000 units per month. The new toy will sell for $9.00 per unit. Enough capacity exists in the company’s plant to produce 15,000 units of the toy each month. Variable expenses to manufacture and sell one unit would be $5.00 , and incremental fixed expenses associated with the toy would total $32,000 per month. Neptune has also identified an outside supplier who could produce the toy for a price of $4.00 per unit plus a fixed fee of $29,000 per month for any production volume up to 15,000 units. For a production volume between 15,001 and 35,000 units the fixed fee would increase to a total of $58,000 per month. Required: 1. Calculate the break-even point in unit sales assuming that Neptune does not hire the…
Your Company produces 1,000 parts per year, which are used in the assembly of one of its products. The unit product cost of these parts is: Variable manufacturing costs $12.00 Fixed manufacturing costs $9.00 Total per unit product cost $21.00 The part can be purchased from an outside supplier at $20 per unit. If the part is purchased from the outside supplier, two thirds of the fixed manufacturing costs can be eliminated. The annual impact on the company's net operating income as a result of buying the part from the outside supplier would be: a. $1,000 increase b. $1,000 decrease c. $5,000 increase d. $2,000 decrease
b. XYZ company produces staplers and other items. The production cost per unit is $8 and the cost of setting up the production line for this is $60. The annual holding cost rate is 30%. The company works 250 days per year. The production rate for this product is 120 per day. If the annual demand is 20,000 units, iii. What is the total production time allocated to this product annually?
2. A company produces deluxe widgets. It has a capacity of 280,000 units per year. The fixed annual cost of the process is $4,000,000. The widgets sell for $ 50 each. Each widget requires parts and labor to make. a. What is the maximum the company can pay (parts and labor) per unit for manufacture? (don't consider time value of money) b. If the estimated costs were $25 per unit, and the MARR were 15% for a potential purchaser (of the company), what is the maximum sales price to buy the company considering a life of 20 years? c. If the cost to produce the units increases at 5% per year, but sales price remains $ 50, how long could the company operate at a profit? (After how many years with the production cost increasing would it take for the net income to equal the fixed costs?
2) "Top Strung" manufacturers quality tennis racquets in Vaughan and sells them for $80 each. It calculates its overhead (rent and machines and insurance) to be $66,000 per month, with wood/material costing about $32 per racquet and labour to assemble and string the racquet to be $15 per stick. Determine: a) The number of racquets needed to be sold per month to breakeven b) the number of racquets needed to be sold per month to make a profit of $26,400 c) the profit if they sell the 5,000 racquets they hope to per month
The company believes that it can successfully sell the product for $45 a bottle. The company’s target operating income is 30% of revenue. Calculate the target full cost of producing the 400,000 units. Does the cost estimate meet the company’s requirements? Is value engineering needed?
Maple Inc. manufactures a product that costs $25 per unit plus $43,000 in fixed costs each month. Maple currently sells 6,000 of these units per month for $47 each. If Maple leased a machine for $12,000 a month, it could add features to the product that would allow it to sell for $53 each. It would cost an additional $9 per unit to add these features. How much would Maple's profit be affected if it leased the machine and added features to its product? Multiple Choice Increase $252,000 Decrease $252,000 Increase $6,000 Decrease $30,000
3. A furniture company manufactures desks and chairs. Each desk requires 29 hours to manufacture and contributes $400 to profit, and each chair requires 19 hours to manufacture and contributes $250 to profit. Due to marketing restrictions, a total of 2000 hours are available. a. Use Solver to maximize the company’s profit. b. What is the maximum profit? c. How many desks and chairs should the company manufacture? d. Of the 2000 available hours, how many hours will be used?