Please answer correctly Two different processes A and B have first pass yieldsof 95% and 98%, respectively. However, non-conforming units can still be reworked infinitely manytimes in the process. Each process has an input of1,000 new units per hour. Each time a unit isprocessed in A or B, a cost of Php 50.00 is incurred./ FALSE)The Yield of A Yield of B (TRUEFALSE)Product Cost (per unit) in A >Product Cost (per unit) in B (TRUE / FALSE)QPR of AQPR of B (TRUE /

Every business wants that the work which is on the products at the manufacturing process should be…

Answered: / FALSE) The Yield of A Yield of B…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Process A has a fixed cost of $16,000 per year and a variable cost of $40 per unit. For process B, 5 units can be produced in 1 day at a cost of $125. If the company's MARR is 10% per year, the fixed cost of process B that will make the two alternatives have the same annual cost at a production rate of 1000 units per year is closest to: Oa. $18,000 O b. $27.000 O C. Over $30,000 Od. Less than $10,000
A rotational molding operation has fixed costs of $6.000 per year and variable costs of $54 per unit. If the process is automated via conveyor, its fixed cost will be $39,000 per year, but its variable cost will be only $10 per unit. Determine the number of units each year necessary for the two operations to break even. The number of units each year necessary for the two operations to break even is determined to be
Machine A has a fixed cost of P40,000 per year and a variable cost of P6 per unit. Machine B has an unknown fixed cost but with this process, 250 units can be produced each month at a total variable cost of P2.000. If the total costs of the two machines break even at a production rate of 2000 units per year, what is the total fixed cost of Machine B?
Fill in the blanks There is a fixed cost of 50,000 dollars to start a production process. Once the process has begun, the variable cost per unit is 25 dollars. The revenue per unit is projected to be 45 dollars. Write an expression for total revenue R(x). Answer should be in this format: R(x) = 12x
Lakeside Incorporated produces a product that currently sells for $62 per unit. Current production costs per unit include direct materials, $16.5; direct labor, $18.5; variable overhead, $11.5; and fixed overhead, $11.5. Product engineering has determined that certain production changes could refine the product quality and functionality. These new production changes would increase material and labor costs by 20% per unit. Required: a. What would be the incremental profit or loss if Lakeside could sell the refined version of its product for $68 per unit? Note: Do not round your intermediate calculations. Round your final answer to 2 decimal places. Loss amounts should be indicated with a minus sign. b. Should it be processed further? a. Incremental Profit (Loss) b. Should it be processed further?
Three production processes-A, B, and C-have the following cost structure: Fixed Cost Variable Cost Process per Year per Unit $120,000 $3.00 90,000 4.00 80,000 4.50 a. What is the most economical process for a volume of 8,000 units? b. How many units per year must be sold with each process to have annual profits of $50,000 if the selling price is $6.95 per unit? c. What is the break-even volume for each process?
Lakeside Incorporated produces a product that currently sells for $70 per unit. Current production costs per unit include direct materials, $18.5; direct labor, $20.5; variable overhead, $13.5; and fixed overhead, $13.5. Product engineering has determined that certain production changes could refine the product quality and functionality. These new production changes would increase material and labor costs by 20% per unit. Required: a. What would be the incremental profit or loss if Lakeside could sell the refined version of its product for $76 per unit? Note: Do not round your intermediate calculations. Round your final answer to 2 decimal places. Loss amounts should be indicated with a minus sign. b. Should it be processed further? > Answer is complete but not entirely correct. a. Incremental Profit (Loss) b. Should it be processed further? $ Yes 2.20 x
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The management of a firm wants to introduce a new product. The product will sell for $3 a unit and can be produced by either of two scales of operation. In the first, total costs are TC = $3,500 + $2.7Q. In the second scale of operation, total costs are TC = $7,910 + $2.4Q. What is the break-even level of output for each scale of operation? Round your answers to the nearest whole number. The first scale of operation: units The second scale of operation: units What will be the firm’s profits for each scale of operation if sales reach 14,700 units? Round your answers to the nearest dollar. The first scale of operation: $ The second scale of operation: $ One-half of the fixed costs are noncash (depreciation). All other expenses are for cash. If sales are 11,400 units, will cash receipts cover cash expenses for each scale of operation? Enter your answers as positive values. Round your answers to the nearest dollar. The first scale of operation generates a cash flow of $ . The…
ASAP In the production of a certain product, two operation are available. One willproduce 40 units of the finished product per P1,000.00 worth of raw materialsand will cost P4.20 per unit of the finished product. The other process willproduce 44 units of the finished product per P1,000.00 worth of raw materialsand will cost P5.60 per unit of the finished product. What is the break-even point in unit value of the finished product below which the low efficiency processshould be used and above which high efficiency should be used?
A rotational molding operation has fixed costs of $10,000 per year and variable costs of $52 per unit. If the process is automated via conveyor, its fixed cost will be $43,000 per year, but its variable cost will be only $10 per unit. Determine the number of units each year necessary for the two operations to break even. The number of units each year necessary for the two operations to break even, (in units) Round to the nearest two (2) decimal places
Management believes it can sell a new product for $7.50. The fixed costs of production are estimated to be $4,500, and the variable costs are $3.90 a unit. a. Complete the following table at the given levels of output and the relationships between quantity and fixed costs, quantity and variable costs, and quantity and total costs. Round your answers to the nearest dollar Enter zero if necessary. Use a minus sign to enter losses, if any Quantity Variable Costs Fixed Costs 0 500 1,000 $ $ $ S 2,500 $ 3,000 S 1,500 2,000 Total Revenue S Quantity $ $ Total Revenue $ $ $ $ $ $ $ $ $ S Fixed Costs $ $ Total Costs b. Determine the break-even level using the above table and use the Exhibit 19.5 to confirm the break even level of output. Round your answers for the break-even level to the nearest whole number. Round your answers for the fixed costs, variable costs, total costs, and profits (losses) to the nearest dollar. Enter zero if necessary Use a minus sign to enter losses, if any Variable…

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/ FALSE) The Yield of A Yield of B (TRUE FALSE) Product Cost (per unit) in A > Product Cost (per unit) in B (TRUE / FALSE) QPR of AQPR of B (TRUE /