Answer:
$214,500
Explanation:
For the computation of the amount of contribution margin first we need to follow some steps which are shown below:
No of units sold = Total sales ÷ selling price per unit
= $374,400 ÷ $24
= $156,00
Variable cost = No of units sold × Variable cost per unit
Variable cost = $15,600 × $13
=$202,800
Contribution margin = Sales - Variable cost
= $374,400 - $202,800
= $171,600
CM ratio = Contribution margin ÷ Sales
= $171,600 ÷ $374,400
= 0.46
Contribution margin = CM ratio × Sales Contribution margin
= 0.46 × (1.25 × $374,400)
= $214,500
Answer:
Dallas Boot Corporation
Assuming that there would be no commission on this potential sale, the lowest price the firm can bid is some price greater than:_________
= $20.
Explanation:
a) Data and Calculations:
Pairs of military combat boots on the bid = 1,000
Direct material $8
Direct labor 6
Variable overhead 3
Variable selling cost (commission) 3
Fixed overhead (allocated) 2
Fixed selling and administrative cost 1
Total cost of production and sales $23
Less commission 3
Total cost per boot $20
b) The bidding price less sales commission will be a price that is greater than $20 per boot. The extra amount per boot will cover the profit expected from the transaction.
Answer:
The answer is option D) In doing "aggregate planning" for a firm producing paint, the aggregate planners would most likely deal with: all the different sizes and all the different colors by size.
Explanation:
Aggregate planning is concerned with forecasting the needs operational needs of an organization and making provisions for them ahead of time.
Aggregate planners develop, analyze, and draft an estimated schedule of the overall operations of an organization.
This estimated schedule contains targeted sales forecasts, production levels, inventory levels, and customer backlogs.
In doing "aggregate planning" for a firm producing paint, the aggregate planners would most likely deal with: all the different sizes and all the different colors by size.
The purpose of aggregate planning is to maximize the utilization of equipment in order to increase productivity levels.
