he part for per unit costs of $6 for direct materials. $4 for direct labor, and $2 for incremental overhead. Kando normally applies overhead costs using a predetermined rate of 200% of direct labor cost. b) Should Kando make or buy the part ? Make Direct materials Direct labor ASK Overhead Cost to buy 14 Company should : 2 Exercise 23-1 (Algo) Make or buy LO P1 2 points pays $4.50 per unit to buy a part for one of the products * manufactures. with excess capacity, the per unit for direct labor. The company normally applies overhead at the predetermined rate of 200% of direct labor ad to make the part would be 80% of direct labor cost. Book (a) Prepare a make or buy analysis of costs for this part. (Enter your answers rounded to 2 decimal places.) b) Should Beto make or buy the part? (a) Make or Buy Analysis Direct materials Direct labor ASK Overhead Cost to buy Cost per unit Cost difference References ( b ) Company should : 20 20 Exercise 22-20 (Algo) Cash conversion cycle LO A4 0.86 A manufacturer reports the data below Current Year Prior Year Accounts payable Inventory 10,924 17, 862 19 ,415 Cost of goods sold 125.680 1) Compute the number of days in the cash conversion cycle for each year (2) Did the company manage cash more effectively in the current year? Complete this question by entering your answers in the tabs below . Required 1 Required 2 Compute the number of days in the cash conversion cycle for each year. (Use 365 days in a year. Round calculations to th Current year Prior year Cash conversion cycle days days 22 Exercise 22-22A (Algo) Assigning joint costs LO C2 22 points ch Canyon lot is $41.000 and for each Hilltop lot is $109,000. The developer acquired the land for $2.000,000 and spent another $3,200,000 on street and utimes improvements otis allocation Do for round youre wement costs of $5,200,000 to the Canyon secti the value basis of Sales Value Percent of Sales Value Cost to Allocate Allocated Cost of Lot Mingon saction $ 6.610.000 5 8.610.800 5 21.680.800 39.70% 3 5.200,00 5 2.084 40 $ 21.680,000 100 05 5 5,200.900 23 Exercise 22-23A (Algo) Assigning joint product costs LO C2 points A dairy company processed raw milk for $61,000. This raw milk can be converted into the following types of milk with listed sales values. Skipped whole milkut sales Have $ 26,600 25 milk skim milk 36 , 480 Total $ 104. 080 23 gross profit forage basis to (1) allocate the total cost of the raw milk to each type of milk and (2) determine the Joint Products Sales Value Percent of Total Allocated Cost Gross Profit Numerator Denominator % of Total Whole m 2% milk