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13. Edgecomb Pottery makes plates, bowls, and platters using glazes that develop starburst patterns when the pottery is fired. The art of creating this pottery,

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13. Edgecomb Pottery makes plates, bowls, and platters using glazes that develop starburst patterns when the pottery is fired. The art of creating this pottery, which includes throwing, bisquing, and glazing, is a craft that takes years of experience to master. The demand for the company's pottery far exceeds the company's studio capacity, Information concerning three of the company's products follows: Plates Bowls Plotters Selling price per unit $30.00 $81.60 $114.00 Variable cost per unit 8.40 11.40 24.00 Studio time required to produce one unit 1 hours 3hours 4hours More time could be made available by asking employees in the studio to work overtime. Assuming that this extra time would be used to produce bowls, the maximum amount that the company should be willing to pay per hour to keep the studio open after normal working hours is: (Round your answer to two decimal places.) $25.40. $70.20 O $23.40 O $6.40 14. Sentinel Inc, manufactures three products from a common input in a joint processing operation. Joint processing costs up to the split-off point total $50,000 per year. The company allocates these costs to the joint products on the basis of their total sales value at the split-off point. These sales values are as follows: Product X, $25,000; Product Y, $45,000; and Product Z. $30,000. Each product may be sold at the split-off point or processed further. The additional processing costs and the sales value after further processing for each product (on an annual basis) are as follows: Product X Product Y Product Z Additional processing costs $ 10,000 $32,000 $ 6,000 Sales value (after further processing) 40,000 75,000 37,000 Which of the products should the company be processing further? Products Y and Z Product X and Z O Product X and Y Product X

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