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I am Lyosha [343]
3 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]3 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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Answer:A. ​differentiation, low cost and response.

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A business strategy is a set of competitive moves and actions that a business uses to attract customers, compete successfully, strengthening performance, and achieve organisational goals. It outlines how business should be carried out to reach the desired ends.

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3 years ago
When recording inflow and outflow of cash flow statements it is important to
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3 years ago
To assess the risk and return involved in a purchase decision, which practical questions should a potential buyer ask? Select th
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Do i need or want it?
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7 0
4 years ago
Which of the following should be identified as pure goods? a. Abe has contracted a recycling company that collects his materials
mr_godi [17]

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b. Somaya just launched an online shoe company

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I hope my answer helps you.

3 0
3 years ago
If stock is issued for a noncash asset, the asset should be recorded on the books of the corporation at A. a nominal amount. B.
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Answer:

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correct answer is option C

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