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WARRIOR [948]
3 years ago
13

Harmony is currently producing 100 units of a necessary component part by incurring $60,000 in direct materials, $12,500 in dire

ct labor, $22,500 in variable overhead, and $15,000 in fixed overhead. If Harmony purchases the component externally, $10,000 of fixed costs can be avoided. What is the external price for 100 units at which the company is indifferent between buying and selling?
Business
1 answer:
Darya [45]3 years ago
4 0

Answer:

The maximum price to pay is= $1,045

Explanation:

Giving the following information:

Harmony is currently producing 100 units of a necessary part by incurring $60,000 in direct materials, $12,500 in direct labor, $22,500 in variable overhead, and $15,000 in fixed overhead. If Harmony purchases the component externally, $10,000 of fixed costs can be avoided.

Unitary cost= (60,000 + 12,000 + 22,500 + 10,000)/100= $1,045

The maximum price to pay is= $1,045

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lutik1710 [3]
Hi there

units were transferred to the finished goods inventory during february
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The p/e ratio can be interpreted as ""the number of years’ earnings to pay back purchase price"" True or False
ICE Princess25 [194]

Answer:

True

Explanation:

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3 years ago
What is a federal and/or state tax on specific goods like gasoline, tires, airfare, or cigarettes?
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8 0
3 years ago
Read 2 more answers
Edington Electronics Inc. produces and sells two models of pocket calculators, XQ-103 and XQ-104. The calculators sell for $14 a
iren2701 [21]

Answer:

In the question, we are not given information with respect to sales costs, so we can only find total gross sales:

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XQ-103     $14             22,590    27,710      $704,200

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4 0
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Ivahew [28]

Answer:

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Explanation:

Giving the following information:

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