Hello,

I have few questions in my assignment in which I am stuck right now. However, I have attached an excel sheet with the necessary data to solve the questions. It would be great if you could explain me the solution in the spreadsheet.

Materials are purchased and then loaded manually into step 1. The material moves automatically into step 2, but between each lot of material, the equipment must be sanitized. Finally, the finished product moves into packing where it is manually wrapped and packaged for shipment. As the consultant, what would you recommend (and why) that Easypeasy use as drivers for their ABC system for: Purchasing material, manufacturing step1, manufacturing step 2, and packaging. a) Purchasing material: b) Manufacturing step 1: c) Manufacturing step 2: d) Packaging: e) Shipping:5. a) The computation of return on average investment ignores one characteristic of the earnings stream, which is considered in discounting cash flows. What is this characteristic? Why is it important? b) What are the disadvantages of evaluating an investment using payback period? Why might a company use this methodology despite these disadvantages?3. Dirty Dog Grooming and Doggie Daycare Inc. is struggling to control labor costs. In the most recent period closed, actual labor varied from forecasted labor by $25,795 (unfavorable). The president of Dirty Dog has asked the Finance Department to analyze and report on the causes of the variance. Budget Actual Man hour 16,650.00 17,912.50 Labor Cost 174,825.00 200,620.00 e the Wage and Efficiency variances for Dirty Dog Wage: Efficiency: Relating to the information above for Dirty Dog, in the absence of any further information, what might you look at to explain the variances: discuss two possible reasons for the wage variance and two logical reasons that could explain the efficiency variance. Wage: a) b ) Efficiency: a) b)Spencer Company is considering replacing its laminate coating machine. Historically, Spencer has used the machine in the prouction of its GEM2000 product. Uncoated GEM2000s can be sold for $80/unit, while uncoated GEM2000s sell for $50/unit. The additional variable costs for coating total $15/unit. Demand for coated GEM2000s is 15000 units/year. Demand for uncoated GEM2000s is 13000 units/year. Spencer is considering the following two solutions and must select one of these paths forward: Solution A: Purchase a new coater from Biggs Co. for $60,000. The machine has a useful life of 5 years with zero salvage, and a capacity of 10,000 units/year. The wongometer will need to be replaced in year 3 for $5,000. Solution B: Lease a coater from Coaters R Us for $5,500/year. The machine has a useful life of 5 years and under the lease agreement, Spencer will pay a lease termination fee of $1500 at the end of the lease. The wongometer will need to be replaced in year 3 for $5,000. The leased coater has a capacity of 10,200 units/year. Using the above information, answer the following two questions. For the purpose of this analysis, ignore taxes. 1 . Using either the Incremental Cost Approach, or Total Cost Approach, in your analysis, which solution should Spencer select? Show your calculations. Keep in mind the concept of relevant costs. 2. What is the ideal product mix for coated versus uncoated GEM2000s under the solution you have recommended