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3 years ago

The Wester Corporation produces three products with the following costs and selling prices:

Business

2 answers:

vitfil [10]3 years ago

8 0

Answer:

Product A, then Product C and finally Product B

Explanation:

The unit profit = Selling price per unit - Variable cost per unit - Fixed cost per unit

Unit Profit of product A = $21 - $11 - $5 = $5

Unit Profit of product B = $12 - $7 - $3 = $2

Unit Profit of product C = $32 - $18 - $9 = $5

The profit of each product in 1 machine hour = 1 hour/ Machine hours per unit * Unit Profit

Profit of Product A in 1 hour using machine = 1/0.2 * $5 = $25

Profit of Product B in 1 hour using machine = 1/0.5*$2 = $4

Profit of Product C in 1 hour using machine = 1/0.2* $5 = $25

Product A & Product C have same profit in 1 hour machine, then we have to consider Direct labor hours per unit which product A is 0.4 while product C is 0.7. It means Product C is more costly in direct labour than Product A.

In short, then the ranking of the products from the most profitable to the least profitable use of the constrained resource is Product A, then Product C and finally Product B

viva [34]3 years ago

3 0

Answer: The ranking of the product in terms the most profit to the least profit is A C B

Explanation:

A. B. C

$ $ $

Selling price per unit. 21 12 32

Less: Variable cost. 11 7 18

---------- ----------- ----------

Contribution margin. 10 5 14

Less: Fixed cost per unit. 5 3 9

-------- ---------- -----------

Profit. 5 2 5

--------- ------- --------

Since the machine hour is the constraint, we divide the profit by the machine hour per unit

Product A = 5÷0.2 = 25

Product B= 3 ÷ 0.5 = 4

Product C = 5 ÷ 0.2 = 25

Therefore the ranking in terms of most profitable to the least profitable is ACB

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Rus_ich [418]

Answer:

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Explanation:

General partnership -

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3 years ago

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garik1379 [7]

Answer:

resource acquisition

Explanation:

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astraxan [27]

Does it it give you answer choices ?

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3 years ago

The manufacturing overhead budget of Paparella Corporation is based on budgeted direct labor-hours. The November direct labor bu

Andru [333]

Answer:

The answer for question A is $ 70,200

The answer for question B is $ 15.20

Explanation:

Budgeted direct labor hours = 6,000 hours

Variable overhead rate = $2.00

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3 years ago

What method would salespeople use to find new customers?

abruzzese [7]

Answer:

B. prospecting

Explanation:

The method that sales people would use to find new customers would be prospecting.

In sales, prospecting means the identification of potential customers for a particular good/service. It represents the first step in sales process.

After the list of potential customers have been created, the next step would be to find a way of reaching out to these customers in order to create leads which can end up in sales and turns a prospective customer to a paying customer.

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2 years ago