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I am Lyosha [343]
4 years ago
14

Landor Appliance Corporation makes and sells electric fans. Each fan regularly sells for $33. The following cost data per fan is

based on a full capacity of 162,000 fans produced each period. Direct materials $ 10 Direct labor $ 7 Manufacturing overhead (50% variable and 50% unavoidable fixed) $ 6 A special order has been received by Landor for a sale of 30,000 fans to an overseas customer. The only selling costs that would be incurred on this order would be $4 per fan for shipping. Landor is now selling 132,000 fans through regular channels each period. Assume that direct labor is an avoidable cost in this decision. What should Landor use as a minimum selling price per fan in negotiating a price for this special order
Business
1 answer:
PIT_PIT [208]4 years ago
4 0

Answer:

$24

Explanation:

The computation of minimum selling price per fan is shown below:

= Direct material per unit + direct labor per unit + manufacturing overhead per unit + variable selling cost per unit

where,

Direct material per unit is $10

Direct labor per unit is $7

Manufacturing overhead cost per unit is = $6 × 50% = $3

Variable selling cost per unit = $4

Sp, the minimum selling price per fan is

= $10 + $7 + $3 + $4

= $24

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erastovalidia [21]

Answer:

$8,400

Explanation:

total commission = $300,000 x 8% = $24,000

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Walt's commission = $12,000 x 70% = $8,400

the 70% commission split between Walt and his broker means that Walt keeps 70% of the commission and the broker keeps 30%.

total commission is split between the two firms because the Walt's listing was sold by another firm.

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4 years ago
In Germany, one worker can produce one cuckoo clock or one beer mug. In Taiwan, one worker can produce two cuckoo clocks or thre
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The country that has a  comparative advantage in the production of cuckoos is Germany.

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A country has a comparative advantage in the production of a good if it produces a good at a lower opportunity cost when compared with other countries.

Germany:

Opportunity cost in the production of cuckoo = 1/1 = 1

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Opportunity cost in the production of cuckoo = 3/2 = 1.5

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A similar question was answered here: brainly.com/question/14822137

5 0
3 years ago
Able Company enters into a contract with a customer to provide them with an accounts receivable program. Able will also provide
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Answer:

One

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4 years ago
The board of governors of the federal reserve system can increase commercial bank reserves by
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3 years ago
Oriole Company uses the units-of-activity method in computing depreciation. A new plant asset is purchased for $52000 that will
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Answer:

$ 0.61 per unit

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The unit-of-activity method is one of the asset depreciation methods. Under this method, the depreciable cost of the asset is spread over the units produced. The formula is a more accurate measure of wear and tear.

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Depreciable cost=(purchase price -salvage value)

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3 years ago
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