1.28 points 1 eBook Print References Exercise 14-40 Joint Products; Relevant Costs; Cost-Volume-Profit Analysis (LO 14-4, 14-6) Zytel Corporation produces cleaning compounds and solutions for industrial and household use. While most of its products are processed independently, a few are related. Grit 337, a coarse cleaning powder with many industrial uses, costs $2.60 a pound to make and sells for $3.80 a pound. A small portion of the annual production of this product is retained for further processing in the Mixing Department, where it is combined with several other ingredients to form a paste, which is marketed as a silver polish selling fo $5.30 per jar. This further processing requires 1/4 pound of Grit 337 per jar. Costs of other ingredients, labor, and variable overhead associated with this further processing amount to $2.40 per jar. Variable selling costs are $0.50 per jar. If the decision were made to cease production of the silver polish, $8,400 of Mixing Department fixed costs could be avoided. Zytel has limited production capacity for Grit 337, but unlimited demand for the cleaning powder. Required: Calculate the minimum number of jars of silver polish that would have to be sold to justify further processing of Grit 337. (Round your intermediate calculations to 2 decimal places and final answer to the nearest whole number.) Minimum number of jars 4,800 2 Unit sales Less variable cost: Direct material Direct labor 1.28 points eBook Print References Variable overhead Variable selling and administrative cost Total variable cost Unit contribution margin UNTU UUD $13.00 $31.00 $ 7.00 $ 5.00 1.00 6.00 1.25 7.50 0.75 0.50 $10.00 $19.00 $ 3.00 $12.00 Duo company's production process uses highly skilled labor, which is in short supply. The same employees work on both products earn the same wage rate. Required: 1. Calculate the contribution margin per scarce resource for each of the products assuming an arbitrary time period for which direc laborers earn $1.00 per unit. 2. Which of Duo Company's products is most profitable? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Calculate the contribution margin per scarce resource for each of the products assuming an arbitrary time period for which direct laborers earn $1.00 per unit. Uno Dos 3 ! Part 1 of 3 1.28 points Required information Problem 14-45 Special Order; Financial and Production Considerations (LO 14-4, 14-5) [The following information applies to the questions displayed below.] Jupiter Corporation manufactures skateboards. Several weeks ago, the firm received a special-order inquiry from Venus, Inc. Venus desires to market a skateboard similar to one of Jupiter's and has offered to purchase 11,000 units if the order can be completed in three months. The cost data for Jupiter's model no. 43 skateboard follow. eBook Print References Direct material Direct labor: 0.25 hours at $9.00 Total manufacturing overhead: 0.5 hours at $20 Total $ 8.20 2.25 10.00 $20.45 Additional data: The normal selling price of model no. 43 is $26.50; however, Venus has offered Jupiter only $15.75 because of the large quantity it is willing to purchase. Venus requires a modification of the design that will allow a $2.10 reduction in direct-material cost. Jupiter's production supervisor notes that the company will incur $3,700 in additional setup costs and will have to purchase a $2,400 special device to manufacture these units. The device will be discarded once the special order is completed. Total manufacturing overhead costs are applied to production at the rate of $20 per machine hour. This figure is based, in part, on budgeted yearly fixed overhead of $750,000 and planned production activity of 60,000 machine hours (5,000 per month). Jupiter will allocate $1,800 of existing fixed administrative costs to the order as ... part of the cost of doing business."