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Check my work 7 Unter Components manufactures low-cost navigation systems for installation in ride-sharing cars. It sells these systems to various car services that can
Check my work 7 Unter Components manufactures low-cost navigation systems for installation in ride-sharing cars. It sells these systems to various car services that can customize them for their locale and business model. It manufactures two systems, the Star100 and the Star150, which differ in terms of capabilities. The following information is available. 1 Costs per Unit Direct materials points Star100 Star150 $ 58 68 Direct labor Variable overhead 24 30 10 15 eBook 113 83 Fixed overhead 226 175 S Total cost per unit Print $ 280 Price S 380 References 2,000 Units sold 4,000 The average wage rate is $15 per hour. Variable overhead varies with the quantity of direct labor-hours. The plant has a capacity of 20,000 direct labor-hours, but current production uses only 10,400 direct labor-hours. Required: a. A nationwide car-sharing service has offered to buy 2,400 Star100 systems and 2,400 Star150 systems if the price is lowered to $190 and $240, respectively, per unit. a-1. If Unter accepts the offer, how many direct labor-hours will be required to produce the additional systems? a-2. Complete the following table to determine the differential profit increase (or decrease) if Unter accepts this proposal. Prices on regular sales will remain the same. b-1. Suppose that the car-sharing has offered instead to buy 3,400 each of the two models at $190 and $240, respectively. This customer will purchase the 3,400 units of each model only in an all-or-nothing deal. That is, Unter must provide all 3,4000 units of each model or none. Unter's management has decided to fill the entire special order for both models. In view of its capacity constraints, Unter will reduce sales to regular customers as needed to fill the special order. Complete the table below to determine the total contribution margin with the special order added b-2. How much will the profits change if the order is accepted? Assume that the company cannot increase its production capacity to meet the extra demand. Check my work 7 Unter will reduce sales to regular customers as needed to fill the special order. Complete the table below to determine the total contribution margin with the special order added. b-2. How much will the profits change if the order is accepted? Assume that the company cannot increase its production capacity to meet the extra demand. c-1. Assume that, in the situation presented in requirement b-1, the plant can work overtime. Direct labor costs for the overtime production increased to $22.50 per hour. Variable overhead costs for overtime production are $4 per hour more than for normal production. Complete the table below to determine the total contribution margin. c-2. How much will the profits change in this situation? 1 points ook Complete this question by entering your answers in the tabs below. Print References Req A1 Req A2 Req B1 Req B2 Req C1 Req C2 A nationwide car-sharing service has offered to buy 2,400 Star100 systems and 2,400 Star150 systems if the price is lowered to $190 and $240, respectively, per unit. A1. If Unter accepts the offer, how many direct labor-hours will be required to produce the additional systems? 8,640 Direct labor-hours Req A1 Req A2 Check my work 7 Complete this question by entering your answers in the tabs below Req A1 Req A2 Req B1 Req B2 Req C1 Req C2 points A nationwide car-sharing service has offered to buy 2,400 Star100 systems and 2,400 Star150 systems if the price is lowered to $190 and $240, respectively, per unit. A2. Complete the following table to determine the differential profit increase (or decrease) if Unter accepts this proposal. Prices on regular sales will remain the same. eBook Print Show less A References Differential revenues: Star 100 456,000 576,000 S 1,032,000 Star 150 Differential costs: Star 100 Star 150 Differential profit (loss) 1,032,000 Req B1 Req A1 Check my work 7 Complete this question by entering your answers in the tabs below. 1 Req A2 Req B1 Req A1 Req B2 Req C1 Req C2 points Suppose that the car-sharing service has offered instead to buy 3,400 each of the two models at $190 and $240, respectively. This customer will purchase the 3,400 units of each model only in an all-or-nothing deal. That is, Unter must provide all 3,400 units of each model or none. Unter's management has decided to fill the entire special order for both models. In view of its capacity constraints, Unter will reduce sales to regular customers as needed to fill the special order. Complete the table below to determine the total contribution margin with the special order added ok Print References Show less A Star100 Star150 Total Special Order: Contribution margin per unit Number of units Total contribution margin 0 S $ 0 Regular production: Contribution margin per unit Number of units Total contribution margin 0S 0 0 Total contribution margin for both: Req B2 Req A2 Check my work 7 b-2. How much will the protits change if the order is accepted? Assume that the company cannot increase its production capacity to meet the extra demand c-1. Assume that, in the situation presented in requirement b-1, the plant can work overtime. Direct labor costs for the overtime production increased to $22.50 per hour. Variable overhead costs for overtime production are $4 per hour more than for normal production. Complete the table below to determine the total contribution margin. c-2. How much will the profits change in this situation? 1 points Complete this question by entering your answers in the tabs below. ook Print Req A1 Req A2 Req B1 Req B2 Req C1 Req C2 References How much will the profits change if the order is accepted? Assume that the company cannot increase its production capacity to meet the extra demand Req B1 Req C1 Check my work 7 Compiete tnis question by entering your answers in tne taps peiow. Req A1 Req A2 Req B1 Req B2 Req C1 Req C2 1 Assume that, in the situation presented in requirement b-1, the plant can work overtime. Direct labor costs for the overtime production increased to $22.50 per hour. Variable overhead costs for overtime production are $4 per hour more than for normal production. Complete the table below to determine the total contribution margin. points eBook Star100 Star150 Total Print Special Order: Contribution margin per unit References Number of units Total contribution margin 0$ 0$ S 0 Regular production: Contribution margin per unit Number of units Total contribution margin $ 0 Total contribution margin for both: 0 Additional direct-labor costs Additional variable overhead Total contribution margin for both (with additional costs): Req B Req C2 Check my work 7 contribution margin with the special orger addea. b-2. How much will the profitss change if the order is accepted? Assume that the company cannot increase its production capacity to meet the extra demand. c-1. Assume that, in the situation presented in requirement b-1, the plant can work overtime. Direct labor costs for the overtime production increased to $22.50 per hour. Variable overhead costs for overtime production are $4 per hour more than for normal production. Complete the table below to determine the total contribution margin. c-2. How much will the profits change in this situation? 1 points Complete this question by entering your answers in the tabs below. ook Print References Req A1 Req A2 Req B1 Req B2 Req C1 Req C2 How much will the profits change in this situation? Req C2 Req C1 Check my work 7 Unter Components manufactures low-cost navigation systems for installation in ride-sharing cars. It sells these systems to various car services that can customize them for their locale and business model. It manufactures two systems, the Star100 and the Star150, which differ in terms of capabilities. The following information is available. 1 Costs per Unit Direct materials points Star100 Star150 $ 58 68 Direct labor Variable overhead 24 30 10 15 eBook 113 83 Fixed overhead 226 175 S Total cost per unit Print $ 280 Price S 380 References 2,000 Units sold 4,000 The average wage rate is $15 per hour. Variable overhead varies with the quantity of direct labor-hours. The plant has a capacity of 20,000 direct labor-hours, but current production uses only 10,400 direct labor-hours. Required: a. A nationwide car-sharing service has offered to buy 2,400 Star100 systems and 2,400 Star150 systems if the price is lowered to $190 and $240, respectively, per unit. a-1. If Unter accepts the offer, how many direct labor-hours will be required to produce the additional systems? a-2. Complete the following table to determine the differential profit increase (or decrease) if Unter accepts this proposal. Prices on regular sales will remain the same. b-1. Suppose that the car-sharing has offered instead to buy 3,400 each of the two models at $190 and $240, respectively. This customer will purchase the 3,400 units of each model only in an all-or-nothing deal. That is, Unter must provide all 3,4000 units of each model or none. Unter's management has decided to fill the entire special order for both models. In view of its capacity constraints, Unter will reduce sales to regular customers as needed to fill the special order. Complete the table below to determine the total contribution margin with the special order added b-2. How much will the profits change if the order is accepted? Assume that the company cannot increase its production capacity to meet the extra demand. Check my work 7 Unter will reduce sales to regular customers as needed to fill the special order. Complete the table below to determine the total contribution margin with the special order added. b-2. How much will the profits change if the order is accepted? Assume that the company cannot increase its production capacity to meet the extra demand. c-1. Assume that, in the situation presented in requirement b-1, the plant can work overtime. Direct labor costs for the overtime production increased to $22.50 per hour. Variable overhead costs for overtime production are $4 per hour more than for normal production. Complete the table below to determine the total contribution margin. c-2. How much will the profits change in this situation? 1 points ook Complete this question by entering your answers in the tabs below. Print References Req A1 Req A2 Req B1 Req B2 Req C1 Req C2 A nationwide car-sharing service has offered to buy 2,400 Star100 systems and 2,400 Star150 systems if the price is lowered to $190 and $240, respectively, per unit. A1. If Unter accepts the offer, how many direct labor-hours will be required to produce the additional systems? 8,640 Direct labor-hours Req A1 Req A2 Check my work 7 Complete this question by entering your answers in the tabs below Req A1 Req A2 Req B1 Req B2 Req C1 Req C2 points A nationwide car-sharing service has offered to buy 2,400 Star100 systems and 2,400 Star150 systems if the price is lowered to $190 and $240, respectively, per unit. A2. Complete the following table to determine the differential profit increase (or decrease) if Unter accepts this proposal. Prices on regular sales will remain the same. eBook Print Show less A References Differential revenues: Star 100 456,000 576,000 S 1,032,000 Star 150 Differential costs: Star 100 Star 150 Differential profit (loss) 1,032,000 Req B1 Req A1 Check my work 7 Complete this question by entering your answers in the tabs below. 1 Req A2 Req B1 Req A1 Req B2 Req C1 Req C2 points Suppose that the car-sharing service has offered instead to buy 3,400 each of the two models at $190 and $240, respectively. This customer will purchase the 3,400 units of each model only in an all-or-nothing deal. That is, Unter must provide all 3,400 units of each model or none. Unter's management has decided to fill the entire special order for both models. In view of its capacity constraints, Unter will reduce sales to regular customers as needed to fill the special order. Complete the table below to determine the total contribution margin with the special order added ok Print References Show less A Star100 Star150 Total Special Order: Contribution margin per unit Number of units Total contribution margin 0 S $ 0 Regular production: Contribution margin per unit Number of units Total contribution margin 0S 0 0 Total contribution margin for both: Req B2 Req A2 Check my work 7 b-2. How much will the protits change if the order is accepted? Assume that the company cannot increase its production capacity to meet the extra demand c-1. Assume that, in the situation presented in requirement b-1, the plant can work overtime. Direct labor costs for the overtime production increased to $22.50 per hour. Variable overhead costs for overtime production are $4 per hour more than for normal production. Complete the table below to determine the total contribution margin. c-2. How much will the profits change in this situation? 1 points Complete this question by entering your answers in the tabs below. ook Print Req A1 Req A2 Req B1 Req B2 Req C1 Req C2 References How much will the profits change if the order is accepted? Assume that the company cannot increase its production capacity to meet the extra demand Req B1 Req C1 Check my work 7 Compiete tnis question by entering your answers in tne taps peiow. Req A1 Req A2 Req B1 Req B2 Req C1 Req C2 1 Assume that, in the situation presented in requirement b-1, the plant can work overtime. Direct labor costs for the overtime production increased to $22.50 per hour. Variable overhead costs for overtime production are $4 per hour more than for normal production. Complete the table below to determine the total contribution margin. points eBook Star100 Star150 Total Print Special Order: Contribution margin per unit References Number of units Total contribution margin 0$ 0$ S 0 Regular production: Contribution margin per unit Number of units Total contribution margin $ 0 Total contribution margin for both: 0 Additional direct-labor costs Additional variable overhead Total contribution margin for both (with additional costs): Req B Req C2 Check my work 7 contribution margin with the special orger addea. b-2. How much will the profitss change if the order is accepted? Assume that the company cannot increase its production capacity to meet the extra demand. c-1. Assume that, in the situation presented in requirement b-1, the plant can work overtime. Direct labor costs for the overtime production increased to $22.50 per hour. Variable overhead costs for overtime production are $4 per hour more than for normal production. Complete the table below to determine the total contribution margin. c-2. How much will the profits change in this situation? 1 points Complete this question by entering your answers in the tabs below. ook Print References Req A1 Req A2 Req B1 Req B2 Req C1 Req C2 How much will the profits change in this situation? Req C2 Req C1
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