What is the optimal mix

Assignment Help Financial Accounting
Reference no: EM13776894

Cranky company produces two types of gears: X and Y. The unit contribution margins are $25 and $10 respectively. They can sell all they can produce. Each gear must be notched by a special machine. The firm owns 8 machines that can provide 40,000 hours of machine time each year. Gear X requires 2 machine hours and Gear Y requires machine hour.

How many of each should be made (what is the optimal mix)?

Reference no: EM13776894

Questions Cloud

Prepare a production budget in units : hree pounds of materials are required for each unit produced. Each pound of material costs $20. Inventory levels for material equal 30percent of the needs for the next month. Materials inventory on Jan 1 was 5,000 pounds. Prepare a production budget ..
What does it mean to say that a variable''s categories : What does it mean to say that a variable's categories may be collapsed? What should the researcher keep in mind when collapsing categories for analysis?
Design a pseudocode only algorithm using dowhile loops : Design a pseudocode-only algorithm using dowhile loops/trailer record logic/end-of-file logic etc. to prepare a report of real estate sales and commissions. Input consists of a series of records that contain the address, city, and selling prices of h..
Discuss how a strong corporate-governance environment : Companies that are publicly traded may engage in earnings management by manipulating their financial numbers in order to meet Wall Street estimates and present more favorable results. Discuss how a strong corporate-governance environment can prevent ..
What is the optimal mix : Cranky company produces two types of gears: X and Y. The unit contribution margins are $25 and $10 respectively. They can sell all they can produce. Each gear must be notched by a special machine. How many of each should be made (what is the optimal ..
Factory overhead allowed for the actual level of production : The normal capacity of Noel Company is 4,000 units per month. At this volume, budgeted fixed and variable factory overhead are $16,000 and $20,000, respectively. In May, actual production was 4,200 units and actual overhead incurred was $37,900.
Prepare journal entries that transactions : On May 11, Sydney Co. accepts delivery of $23,500 of merchandise it purchases for resale from Troy Corporation. With the merchandise is an invoice dated May 11, with terms of 3/10, n/90, FOB shipping point. The goods cost Troy $15,745. Prepare journa..
Uses the incremental-revenues allocation method : Trio Company sells three products, Do, Ra, and Mi, for prices of $8, $7, and $5, respectively. They also offer combinations of the products for reduced overall prices. If Trio Company uses the incremental-revenues allocation method and has designated..
Basic earnings and diluted earnings per share : On June 1, 2012, Andre Company and Agassi Company merged to form Lancaster Inc. A total of 869,000 shares were issued to complete the merger. The new corporation reports on a calendar-year basis. On April 1, 2014, the company issued an additional 623..

Reviews

Write a Review

Financial Accounting Questions & Answers

  Imagine that the society has two political parties

Imagine that the society has two political parties, called the Hawks (who want a strong military) and the Doves (who want a smaller military). Show a point on your production possibilities frontier that the Hawks might choose and a point that the ..

  1 all of the following costs should be charged against

1. all of the following costs should be charged against revenue in the period in which costs are

  Recording journal entrieslightning fast computer company

recording journal entrieslightning fast computer company recently began operations and had the following transactions

  Variable cost and sales

Calculate B.E.P. (breakeven point) in sales from the following Information: First case: Sales $ 100,000, Variable Cost $, 50,000, Profit $, 20,000

  What amount of net cash provided by financing activities

What amount of net cash provided by financing activities should be reported in the statement of cash flows?

  Explain who is eligible to claim anna as a dependent

Joint Versus Separate Returns. Hal attended school much of 2013, during which time he was supported by his parents. Hal married Ruth in December 2013. Hal graduated and commenced work in 2014. Ruth worked during 2013 and earned $18,000. Hal's only..

  What is the amount of contribution margin

What is the amount of contribution margin that will be obtained per machine hour on each product and which product would you recommend that the company work on next week ' the orders for product F, product G or product H? Show your computation

  Establishing qualified versus non-qualified retirement plan

Both nondeductible contributions to a traditional IRA and contributions to a Roth IRA are similar in the sense neither provides a tax deduction at the date of contribution. Which of the two types would be most advantageous to taxpayers, and why? Your..

  Elimination journal entries for consolidation

consolidated financial statements and statements of changes in equity of Platypus Limited and its controlled entities.

  Compute the variable manufacturing overhead spending

Compute the variable manufacturing overhead spending and efficiency variances and compute the fixed manufacturing overhead budget and volume variances.

  Current australian unemployment and inflation rate

What is monetary policy and what are the objectives of monetary policy for the RBA and market numbers

  Concept of accounting for merchandise

Concept of accounting for merchandise through short questions and journal entries - Which one of the following factors would not lead to a presumption that the local currency of a foreign subsidiary is the functional currency?

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