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Make it or Buy. Alcon Corp. estimates it will produce 30.000 units of a part that goes into its final product. It currently produces this part internally, but is considering outsourcing this activity. Current internal capacity permits for a maximum of 60,000 units of the part. The production manager has prepared the following information concerning the internal manufacture of 60,000 units of the part: Direct materials: $3.00 per unit Direct labour: $4.00 per unit Variable overhead $5.00 per unit Fixed overhead $6.00 per unit Total cost: $18.00 The fixed overhead of $6. per unit includes a $1.50 per unit allocation for salary paid to a supervisor to oversee production of the part. The fixed costs would not be reduced by outsourcing, except that the supervisor would be terminated. Assume that if Ascom outsources its purchase price from the outsourcer is $12.00 per unit. 1- Should Ascom outsource? 2- Assume Ascom has received a special order for 10,000 units of the part from Adigen Co. Adigen will pay Ascom $23.00 per part, but will take the parts only if they have been manufactured by Ascom. Thus, Adigen will engage in the special order only if Ascom does not outsource any of its production. Should Ascom accept the special order?
1. what is the impact on the founders and round one investors final ownership assuming the second round is funded by outsiders?
What are E's contribution margin ratio, gross profit ratio and operating (net) income ratios?
Prepare the journal entry to record Fogelberg's transaction, under the following conditions. (Round answers to 0 decimal places, e.g. $38,487. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit ac..
The capital balance for Messalina is $ 210,000 and for Romulus is $ 140,000. These two partners share profits and losses 60 percent (Messalina) and 40 percent (Romulus).
Ollie Mace has recently been appointed controller of S. Dilley & Company, a family-owned manufacturing firm founded 28 years ago. The firm manufactures automotive parts. Its four major operating divisions are heat treating, extruding, small parts ..
foren corporation had the following transactions pertaining to debt investments.jan. 1 purchased 50 8 1000
although accounting information is used by a wide variety of external parties financial reporting is primarily directed
Compute the payback period for the new hoist and compute the annual rate of return for the new hoist. (Round to one decimal.)
Using least-squares regression, estimate the variable cost elements of monthly car wash costs.
Determine the weighted-average unit contribution margin. Determine the break-even volume in units for each product. Determine the total number of units that must be sold to obtain a profit for the company of $234,000.
Ann sell sports kit10% of sales are cash transaction and the remainder is on an month's credit. How much was paid to suppliers in the month of February2002.
the new ceo of radco manufacturing has asked for a variety of information about the operations of the firm from last
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