Question
91.Geary Manufacturing has assembled the following data pertaining to two popular products. Blender Electric mixer Direct materials P6 P11 Direct labor 4 9 Factory overhead
91.Geary Manufacturing has assembled the following data pertaining to two popular products.
Blender Electric mixer
Direct materials
P6 P11
Direct labor
4 9
Factory overhead @ P16 per hour
16 32
Cost if purchased from an outside supplier
20 38
Annual demand (units)
20,000 28,000
Past experience has shown that the fixed manufacturing overhead component included in the cost per machine hour averages P10.Geary has a policy of filling all sales orders, even if it means purchasing units from outside suppliers.
If 50,000 machine hours are available, and Geary Manufacturing desires to follow an optimal strategy, it should produce ?
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