Answer: Sell before assembly, the company will be better off by $1 per unit.
Explanation:
To solve the above question, we need to calculate the incremental profit or loss first. This will be:
= After assembling sales value - Unassembled unit sales value - Coat if further processing
= $87 - $62 - $26
= -$1
Since there is an incremental loss of $1, then the correct answer is "Sell before assembly, the company will be better off by $1 per unit".
Answer:
Equilibrium is the point of the interaction between the demand and supply curves.
The given graph given from the question is attached below (Image 1-2)
The solution is attached in image 3-4
Answer:
Estimated manufacturing overhead rate= $1.53 per machine hour
Explanation:
Giving the following information:
The company allocates manufacturing overhead using a single plantwide rate with machine hours as the allocation base.
The estimated overhead costs for the year are $ 104,000.
Machine hours (MHr)= 27,000 + 41,000= 68,000 machine hours
Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Estimated manufacturing overhead rate= 104,000/68,000= $1.53 per machine hour