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can you please help me understand how to do these like formulas and such. [The following information applies to the questions displayed below] Morning Sky,

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can you please help me understand how to do these like formulas and such.

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[The following information applies to the questions displayed below] Morning Sky, Inc. (MSI). manufactures and sells computer games. The company has several product lines based on the age range of the target market. MSl sells both individual games as well as packaged sets. All games are in CD format, and some utilize accessories such as steering wheels, electronic tablets. and hand controls. To date, MSI has developed and manufactured all the CDs itself as well as the accessories and packaging for all of its products. The gaming market has traditionally been targeted at teenagers and young adults: however, the increasing affordability of computers and the incorporation of computer activities intojunior high and elementary school curriculums has led to a signicant increase in sales to younger children. MSI has always included games for younger children but now wants to expand its business to capitalile on changes in the industry. The company currently has excess capacity and is investigating several possible ways to improve protability. value: - Required lnformatlon 1.00 pomts MSI has been approached by a fourth-grade teacher from Portland about the possibility of creating a specially designed game that would be customized for her classroom and environment. The teacher would like an educational game to correspond to her classroom coverage of the history of the Pacic Northwest, and the state of Oregon in particular. MSI has not sold its products directly to teachers or school systems in the past, but its Marketing Department identied that possibility during a recent meeting. The teacher has offered to buy 1,900 copies of the CD at a price of $6.00 each. MSI could easily modify one of its existing educational programs about U.S. history to accommodate the request. The modications would cost approximately $440. A summary of the information related to production of MSl's current history program follows: Direct materials $ 1.13 Direct labor 0.35 Variable manufacturing overhead 2.25 Fixed manufacturing overhead 1.90 Total cost per unit $ 5 63 Sales price per unit $12.00 . Required: 1. Compute the incremental prot (or loss) from accepting the special order. 2. Should MSI accept the special order? 0 Yes 0 No 3. Suppose that the special order had been to purchase 1,900 copies of the program for $5.50 each. Compute the incremental prot (or loss) from accepting the special order under this scenario. --_ 4. Suppose that MSI is operating at full capacity. To accept the special order, it would have to reduce production of the history program. Compute the special order price at which MSI would be indifferent between accepting or rejecting the special order. (Round your answer to 2 decimal places.) _: \\mlue: ' Required information 1.00 pornts MSI is considering outsourcing the production of the handheld control module used with some of its products. The company has received a bid from Monte Legend Co. (MLC) to produce 12,000 units of the module per year for $19.00 each. The following information pertains to MSl's production of the control modules: Direct materials $10 Direct labor 6 Variable manufacturing overhead 2 Fixed manufacturing overhead 4 Total cost per unit $1 I MSI has determined that it could eliminate all variable costs if the control modules were produced externally, but none of the xed overhead is avoidable. At this time, MS! has no specic use in mind for the space that is currently dedicated to the control module production. Required: 1. Compute the difference in cost between making and buying the control module. 2. Should MSI buy the modules from MLC or continue to make them? 0 Make 0 Buy 3-a. Suppose that the MSI space currently used for the modules could be utilized by a new product line that would generate $26,000 in annual prot. Recompute the difference in cost between making and buying under this scenario. :I value: Required Information 1.00 points MSI is considering eliminating a product from its ToddleTown Tours collection. This collection is aimed at children one to three years of age and includes \"tours\" of a hypothetical town. Two products, The Pet Store Parade and The Grocery Getaway, have impressive sales. However, sales for the third CD in the collection, The Post Ofce Polka, have lagged the others. Several other CDs are planned for this collection, but none is ready for production. MSI's information related to the ToddleTown Tours collection follows: Segmented Income Statement for MSl's ToddleTown Tours Product Lines Post Pet Store Grocery Otoe Parade Gem Polka Total Sales revenue $65,000 $60,000 $22,000 $147,000 Variable costs 29,000 25,000 14,000 68,000 Contribution margin $36,000 $35,000 $ 8,000 $ 79,000 Less: Direct Fixed costs 5,400 4,000 4,200 13,600 Segment margin $30,600 $31,000 $ 3,800 $ 65,400 Less: Common xed costs' 13,000 12,000 4,400 29,400 Net operating income (loss) $17,600 $19,000 $ 600) $ 36,000 'Allowted based on total sales dollars. MSI has determined that elimination of the Post Ofce Polka (POP) program would not impact sales of the other two items. The remaining xed overhead currently allocated to the POP product would be redistributed to the remaining two products. Required: 1. Calculate the incremental effect on prot if the POP product is eliminated. -:i:| 2. Should MSI drop the POP product? .A Yes A ,No 3-8. Calculate the incremental effect on prot ifthe POP product is eliminated. Suppose that $4.000 ofthe common xed costs could be avoided ifthe POP product line were eliminated. -:l:| 3-b. Should MSI drop the POP product? O Yes 0 No value: Required information 1.00 points MSl's educational products are currently sold without any supplemental materials. The company is considering the inclusion of instmctional materials such as an overhead slide presentation, potential test questions, and classroom bulletin board materials for teachers. A summary of the expected costs and revenues for MSl's two options follows: CD with Instructional CD Only Materials Estimated demand 41,000 units 41,000 units Estimated sales price $ 25.00 $ 52.00 Estimated cost per unit Direct materials 3 1.50 S 1.75 Direct labor 2.00 5.00 Variable manufacturing overhead 2.00 5.25 Fixed manufacturing overhead 2.00 2.00 Unit manufacturing cost $ 7.50 $ 14.00 Additional development cost $105,000 r_\"'-\"_'_'_' Required: 1. Based on the given data, Compute the increase or decrease in prot that would result if instructional materials were added to the CDs. Sales Revenue Variable Costs Contribution Margin Additional Development Costs Differential Profit (Loss) 2. Should MSI add the instructional materials or sell the CD5 without them? F' Add the Instructional Materials C7 Sell the CDs without Instructional Materials 3-8. Suppose that the higher price ofthe CD5 with instructional materials is expected to reduce demand to 21,000 units. Complete the table given below based on Requirement1 and 2 data. Sales Revenue Variable Costs Contribution Margin Additional Development Costs Differential Prot (Loss) 3-h. Should MSI add the Instructional materials or sell the CDs without them? 0 Add the Instructional Materials 0 Sell the CDs without Instructional Materials value: 1.00 points Ironwood Company manufactures a variety of sunglasses. Production information for its most popular line, the Clear \\sta (CV), follows: Per Unit Sales price $ 47.50 Direct materials 16.00 Direct labor 10.00 Variable manufacturing overhead 2.00 Fixed manufacturing overhead 5.00 Total manufacturing cost $ 33.00 Suppose that Ironwood has been approached about producing a special order for 2,400 units of custom CV sunglasses for a new semiprofessional volleyball league. All units in the special order would be produced in the league's signature colors with a specially designed logo emblem attached to the side of the glasses. The league has offered to pay $44.00 per unit in the special order. Additional costs for the special order total $1.00 per unit for mixing the special frame color and purchasing the emblem with the league's logo that will be attached to the glasses. Required: 1. Assume Ironwood has the idle capacity necessary to accommodate the special order. Calculate the additional contribution margin Ironwood would make by accepting the special order. _:| Z-a. Calculate the current contribution margin per unit. (Round your answer to 2 decimal places.) : 2-b. Suppose Ironwood is currently operating its production facility at full capacity and accepting the special order would mean reducing production of its regular CV model. Should Ironwood accept the special order in this case? C Yes A, No 3. Calculate the special order price per unit at which Ironwood is indifferent between accepting or rejecting the special order. (Round your answer to 2 decimal places.) value: 1.00 points Cordova manufactures three types of stained glass window, cleverly named Products A, B, and C. Information about these products follows: Product A Product B Product C Sales price $39.00 $49.00 $79.00 Variable costs per unit 20.75 21.00 40.75 Fixed costs per unit 7.00 7.00 7.00 Required number of labor hours 1.25 2.00 2.50 Cordova currently is limited to 45,000 labor hours per month. Required: Assuming an infinite demand for each of Cordova's products, determine contribution margin per direct labor hour. (Round your answers to 2 decimal place.) Product A CM per DL Hour Product B CM per DL Hour Product C CM per DL Hour Which product would be Cordova's rst choice to produce? 0 Product C 0 Product B 0 Product A 10' $313 points Cordova manufactures three types of stained glass window, cleverly named Products A, B, and C. Information about these products follows: Product A Produd B Product C Sales price $49.00 $59.00 $89.00 Variable costs per unit 15.80 11.50 23.80 Fixed costs per unit 5.00 5.00 5.00 Required number of labor hours 2.00 2.50 4.00 Cordova currently is limited to 60,000 labor hours per month. Cordova's marketing department has determined the following demand for its products: ProductA 14,000 units ProductB 10,000 units ProductC 6,000 units ' Required: Given the company's limited resource and expected demand, compute how many units of each product Cordova should produce to maximize its prot. (Enter the products in the sequence of their preferences; the product with rst preference should be entered rst. Round your answer to the nearest whole number.)

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