Answer:
Piper Rose Boutique should accept the special order made by the college
Explanation:
Price per unit the college is willing to pay = $6
Total variable cost per unit to be incurred by Piper Rose Boutique = Direct materials + Direct labor + Variable factory overhead = $2.00 + $0.50 + $1.50 = $4,00
Since the price per unit of $6 that the college is willing to pay is greater than the total variable cost per unit of $4 to be incurred by Piper Rose Boutique, Piper Rose Boutique should accept the special order made by the college.
Note: the Fixed factory overhead is not relevant in taking the decision. Only the variable costs are relevant.
Answer:
creditors should be the answer
Answer:
A kopeck is a hundredth of a ruble
1 ruble sales = 0.8516 ruble cost
? Sales = 5,632,000 ruble
Sales = 5,632,000 divide 0.8516 = 6,613,434 rubles
Answer:
Option (A) is correct.
Explanation:
Given that,
Target full product cost = $500,000 per year
Actual fixed cost = $280,000 per year
'Actual fixed cost cannot be reduced'
Actual variable cost = $3 per unit
Production volume = 151,000 units per year
Therefore,
Total target variable cost per unit cannot exceed:



= $1.46