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stealth61 [152]
3 years ago
8

Hamrick Industries makes and sells two products. The demand for both products is unlimited. Product A has a contribution margin

of $7.70 per unit. Product B has a contribution margin of $2.64 per unit. The same machines are used to produce both products. Product A requires 0.33 machine hours and product B requires 0.20 machine hours. Which product should the company make and sell? Product A because the selling price is $11.00 per unit Product A because the contribution margin per unit is $7.70 Product A because the contribution margin per MH is $23.33 Product B because the contribution margin per MH is $13.20 Product B because the contribution margin per unit is $2.64
Business
2 answers:
sergejj [24]3 years ago
8 0

Answer:

Product A because the contribution margin per MH is $23.33

Explanation:

In terms of efficiency, you have to look for the highest outcome with the fewer use of resources. In this case, the resources available are the machines, and the outcome is the profit (margin per unit). Applying the formula:  Efficiency producing X (Ex) = [(1 hour of machine hour) / (Product x timed used per unit)]Margin per unit X, and comparing products A and B, you get that producing A is more efficient in terms of profits than producing B, by $10,1 per hour (23,33 - 13,2)

tatiyna3 years ago
8 0

Answer: Product A because contribution margin per unit is $7.70

Explanation:

Contribution margin is the difference between the sales price and the variable cost of a product, any product that has a positive contribution is worth investing in for the contribution will on the long run take off the fixed cost and company will subsequently makes a profit. However in a competitive situation the firm should chose a product with the higher contribution margin.

The price is not a strong determinant nor the contribution in relation to a single variable when the contribution per unit is giving.

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A work system has five stations that have process times of 5, 9, 4, 9, and 8. What is the throughput time of the system?A. 7B. 4
-Dominant- [34]

Answer:

D

The throughput time of the system is 35

Explanation:

When we talk of the throughput time of a system, we are referring to the total time utilized from the start of the job to the end

So to calculate the throughput time of this system, we simply need to add all the hours of work together (proceeds time)

That would be; 5 + 9 + 4 + 9 + 8 = 35

4 0
3 years ago
While Ken appreciates that as a result of his communication-based self improvement plan he will be a better person, he knows tha
ololo11 [35]
While Ken appreciates that as a result of his communication-based self improvement plan he will be a better person, he knows that the greatest benefit will be to ______.

b. Become a more effective worker

6 0
3 years ago
Read 2 more answers
The Charade Company is preparing its Manufacturing Overhead budget for the fourth quarter of the year. The budgeted variable fac
In-s [12.5K]

Answer:

the total budgeted factory overhead for November is : 2) $110,000.

the budgeted direct labor hours for December must be : 3) 9,000 hours.

total budgeted factory overhead per direct labor hour is : 1) $14.38

Explanation:

To determine the budgeted factory overhead for November, prepare a budgeted factory overhead for November as follows :

<u>November</u>

Budgeted Variable factory overhead ($5.00 × 7,000 hours)  = $35,000

Budgeted Fixed factory overhead                                             = $75,000

Total budgeted factory overhead                                              = $110,000

<u>December</u>

Total Cash Disbursements                                                         = $105,000

Less Budgeted Fixed factory overhead  ($75,000 - $15,000) =  $60,000

Budgeted Variable factory overhead                                        =   $45,000

Therefore, budgeted direct labor hours = $45,000 / $5.00

                                                                  = 9,000 hours.

<u>December</u>

Budgeted Variable factory overhead ($5.00 × 8,000 hours)  = $40,000

Budgeted Fixed factory overhead                                             = $75,000

Total budgeted factory overhead                                              = $115,000

Therefore, total budgeted factory overhead per direct labor hour = $115,000 / 8,000 hours = $14.375

Which is $14.38 (rounded)

                                                               

3 0
3 years ago
The management of Unter Corporation, an architectural design firm, is considering an investment with the following cash flows: Y
Mandarinka [93]

Answer:

payback 5 years

if the ltaer years cash flow increases several times, it would not affect the payback date. This is a disavantage of this method, it is focus on recover the investment without considering the total cash flow of the project.

Explanation:

Payback = the time in the life of a project on which the initial ivnestment is recover.

       -31,000 Balance

Year 1  2,000 -  29,000

Year 2 0          - 29,000

Year 3 8,000  -  21,000

Year 4 9,000  -  12,000

Year 5 12,000              0

At year 5 the proejct achieve payback

5 0
3 years ago
Debbie promises to sell Brian a one of a kind baseball card for $1,000. Brian says that he does not have the money right now, bu
const2013 [10]

Answer:

d. Yes, the offeror must be a merchant, pursuant to the UCC definition of merchant.

Explanation:

The Uniform Commercial Code (UCC) establishes that firm offers can only be made by merchants. They also apply only to the sale of goods, but the baseball card is a type of good.

The problem is that Debbie is not probably a merchant. In order for her to be considered a merchant, she would need to be in the business of buying and selling baseball cards on a regular basis.

3 0
3 years ago
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