Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

ChunkySounds Inc. sells Bluetooth Speakers that connect to play music from the users mobile phone. Financial data for the manufacturing operations of ChunkySounds Inc. for

ChunkySounds Inc. sells Bluetooth Speakers that connect to play music from the users mobile phone. Financial data for the manufacturing operations of ChunkySounds Inc. for the past year are provided in the table below.

image text in transcribedimage text in transcribed
ChunkySounds Inc. sells Bluetooth Speakers that connect to play music from the users mobile phone. Financial data for the manufacturing operations of ChunkySounds Inc. for the past year are provided in the table below. This data are also preloaded in this excel worksheet: 22321 Q1 2021.s2.xisx _ Month Number of units Total costs ($) Jan 749 45,726.41 Feb 629 41,555.61 Mar 603 42,085.27 Apr 669 43,297.21 May 766 45,033.94 Jun 715 44,141.35 Jul 969 50,140.29 Aug 916 50,376.56 Sep 845 48,393.45 Oct 831 47,151.71 Nov 807 47,805.87 Dec 864 48,762.24 Normal manufacturing capacity of the factory is 800 units. When monthly demand exceeds normal capacity, ChunkySounds Inc. has been leasing a machine at a cost of $5,000 per month (the machine increases potential output to 1,000 units), and also receives a bulk discount on all raw materials purchases for monthly production. Using high-Low analysis, calculate the discount per unit that ChunkySounds Inc. receives when raw materials are purchased for more than 800 units in a month. Enter your answer to 2 decimal places.Month Number of units Total costs ($) Jan 749 $ 45,726.41 Feb 629 $ 41,555.61 Mar 603 $ 42,085.27 Apr 669 $ 43,297.21 May 766 $ 45,033.94 Jun 715 $ 44,141.35 Jul 969 $ 50,140.29 Aug 916 $ 50,376.56 Sep 845 $ 48,393.45 Oct 831 $ 47,151.71 Nov 807 $ 47,805.87 Dec 864 $ 48,762.24

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Comparative International Accounting

Authors: Christopher Nobes, Robert Parker

14th Edition

1292296461, 978-1292296463

More Books

Students also viewed these Accounting questions