Gruner also incurs 7 sales commission 048 on each disc

Assignment Help Accounting Basics
Reference no: EM13601444

Gruner Company produces golf discs which it normally sells to retailers for $6.89 each. The cost of manufacturing 17,300 golf discs is:

  • Materials $8,996
  • Labor 24,393
  • Variable overhead 18,857
  • Fixed overhead 33,908
  • Total $86,154

Gruner also incurs 7% sales commission ($0.48) on each disc sold.Travis Corporation offers Gruner $4.82 per disc for 4,700 discs. Travis would sell the discs under its own brand name in foreign markets not yet served by Gruner. If Gruner accepts the offer, its fixed overhead will increase from $33,908 to $38,718 due to the purchase of a new imprinting machine. No sales commission will result from the special order.

Reference no: EM13601444

Questions Cloud

Av city stocks and sells a particular brand of laptop it : av city stocks and sells a particular brand of laptop. it costs the firm 625 each time it places an order with the
Blue sage mountain produces hinged snowboards the price : blue sage mountain produces hinged snowboards. the price charged affects the quantity sold. the following equation
How can the concept of unit-level activities be applied to : how can the concept of unit-level activities be applied to an airline? more specificallywhat are two examples is of
Vintage cellars manufactures a 1000-bottle wine storage : vintage cellars manufactures a 1000-bottle wine storage system that maintains optimum temperature 55-57 degf and
Gruner also incurs 7 sales commission 048 on each disc : gruner company produces golf discs which it normally sells to retailers for 6.89 each. the cost of manufacturing 17300
Selleck has recently started the manufacture of recrobo a : selleck has recently started the manufacture of recrobo a three-wheeled robot that can scan a home for fires and gas
Sally wilson is planning her retirement she is presently : sally wilson is planning her retirement. she is presently investing in a 401k but needs an additional 500000 to reach
Franklin foods announced that its sales were 1233450 this : franklin foods announced that its sales were 1233450 this year. the company forecasts a growth rate of 16 percent for
A new raw material is available that will decrease the : maddox company had sales in 2010 of 1200000 on 60000 units. variable costs totaled 720000 and fixed costs totaled

Reviews

Write a Review

 

Accounting Basics Questions & Answers

  Tax consequences for christie

During 2009, CCP earns an income of $90,000, and Christie withdraws $30,000 in cash from the partnership. In 2010, CCP suffers a loss of $30,000, and Christie withdraws $10,000. What are the tax consequences for Christie of this investment in 2009..

  For several years a number of food lion inc grocery stores

for several years a number of food lion inc. grocery stores were unprofitable. the company closed and continues to

  Basis of the new factory building

A factory building is constructed during the nine-month period after the hurricane at a cost of $450,000. What is the recognized gain or loss and what is the basis of the new factory building?

  Qualitative considerations in capital investing

Qualitative considerations in capital investing analysis include:

  Property included in the donors gross estate

Which of the following circumstances would cause the gifted property to be included in the donor's gross estate?

  Morgan leasing company signs agreement on january 1 2014 to

morgan leasing company signs an agreement on january 1 2014 to lease equipment to cole company. the following

  Expenses for the year were 22000 dividends declared totaled

ending liabilities are 67000 beginning equity was 87000 common stock sold during year totaled 31000 expenses for the

  Soku company issues 35000 shares of 6 par value common

soku company issues 35000 shares of 6 par value common stock in exchange for land and a building. the land is valued at

  The following transactions occurred during 2013 assume that

the following transactions occurred during 2013. assume that depreciation of 10 per year is charged on all machinery

  Identify which of the items a through e should not be

bombeck company sells a product for 1500. when the customer buys it bombeck provides a one-year warranty bombeck sold

  Corporate bond over a treasury bond

Would the yield spread on a corporate bond over a Treasury bond with the same maturity tend to become wider or narrower if the economy appeared to be heading toward a recession?

  Projects according to the profitability index

The present value of the cash inflows would be $42,180 for Project O, $53,900 for Project P, and $91,910 for Project Q. Rank the projects according to the profitability index, from most profitable to least profitable.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd