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choli [55]
3 years ago
12

ABC Company produces Product X, Product Y, and Product Z. All three products require processing on specialized finishing machine

s. The capacity of these machines is 1,200 hours per month. ABC Company wishes to determine the product mix that should be achieved to meet the high demand for each product and provide the maximum profit. Following is information about each product: Product X Product Y Product Z Selling Price $100 $80 $25 Variable Costs 70 40 20 Machine time per unit 3 hours 2 hours 1 hour Monthly demand (units) 300 200 500 Determine how the 1200 hours of machine time should be allocated to the three products to provide the most profitable product mix. Product X = _____ hours Product Y = _____ hours Product Z = ______ hours
Business
1 answer:
maria [59]3 years ago
3 0

Answer:

400; 800

Explanation:

Contribution:

Product X:

= Selling price - Variable cost

= 100 - 70

= 30,

Product Y:

= Selling price - Variable cost

= 80 - 40

= 40,

Product Z:

= Selling price - Variable cost

= 25 - 20

= 5

Machine hours required :

Product X:

= Machine time per unit × Monthly demand

= 3 ×  300

= 900,

Product Y:

= Machine time per unit × Monthly demand

= 2 × 200

= 400,

Product Z:

= Machine time per unit × Monthly demand

= 1 × 500

= 500

Contribution per machine hour:

Product X = Contribution ÷ Machine time per unit

                 = 30 ÷ 3

                 = 10,

Product Y = Contribution ÷ Machine time per unit

                 = 40 ÷ 2

                 = 20,

Product Z = Contribution ÷ Machine time per unit

                = 5 ÷ 1

                = 5

It is highest for Y, so produce maximum amount of Y, then X and then Z

Y needs 400 hrs, we are left with 800 hours, so produce 800 hours of X.

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One year ago, Alpha Supply issued 15-year bonds at par. The bonds have a coupon rate of 6.5 percent, paid semiannually, and a fa
Masja [62]

Answer:

option (C) - 6.11%

Explanation:

Data provided :

Coupon rate one year ago = 6.5% = 0.065

Semiannual coupon rate = \frac{0.065}{2} = 0.0325

Face value = $1,000

Present market yield = 7.2% = 0.072

Semiannual Present market yield, r = \frac{0.072}{2} = 0.036

Now,

With semiannual coupon rate bond price one year ago, C

= 0.0325 × $1,000

= $32.5

Total period in 15 years = 15 year - 1 year = 14 year

or

n = 14 × 2 = 28 semiannual periods

Therefore,

The present value = C\times[\frac{(1-(1+r)^{-n})}{r}]+FV(1+r)^{-n}

= \$32.5\times[\frac{(1-(1+0.036)^{-28})}{0.036}]+\$1,000\times(1+0.036)^{-28}

or

= $32.5 × 17.4591 + $1,000 × 0.37147

= $567.42 + $371.47

= $938.89

Hence,

The percent change in bond price = \frac{\textup{Final price - Initial price}}{\textup{Initial price}}\times100\%

= \frac{\textup{938.89-1,000}}{\textup{1,000}}

= - 6.11%

therefore,

the correct answer is option (C) - 6.11%

4 0
3 years ago
Firms face competing pressures in the marketplace-how to achieve lower costs through proven approaches to production, while look
nignag [31]

Answer:

a. leverage skills and products associated with a firm's core competencies from one country to another.

Explanation:

Company A can still meet the demands of the local markets and the competitive pressures it is facing by utilizing its core competences and deploring its products internationally.  A hybrid of localization and international strategies would be more appropriate.  This hybrid approach will enable the company "to realize the full benefits from economies of scale and learning effects, without losing on location economies," as desired in the case study.

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Esquire Comic Book Company had income before tax of $1,550,000 in 2021 before considering the following material items: 1. Esqui
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Answer:

                   Esquire Comic Book Company

                                Income Statement

                For the Year Ended December 31, 2021

Operating income                                                 $1,550,000

Restructuring costs                                                 ($60,000)

Income from continuing operations b/ Taxes     $1,490,000

<u>Income tax expense                                              ($372,500)</u>

Income from continuing operations                                        $1,117,500

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Income from discontinued operations                                     $161,250

<u>Net income                                                                             $1,278,750</u>

Explanation:

Income from discontinued operations must be reported separately, but any restructuring costs must be included as operational expenses.

3 0
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Zirconia Fantasy sells only necklaces. 8 comma 000 units were sold resulting in $ 240 comma 000 of sales​ revenue, $ 60 comma 00
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Answer:

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Explanation:

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