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i need help in B and C Integrative Case 5-72 (Algo) Cost Estimation, CVP Analysis, and Decision Making (LO 5-4.5.9) Luke Corporation produces a variety

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Integrative Case 5-72 (Algo) Cost Estimation, CVP Analysis, and Decision Making (LO 5-4.5.9) Luke Corporation produces a variety of products, each within their own division. Last year, the managers at Luke developed and began marketing a new chewing gum, Bubbs, to sell in vending machines. The product, which sells for $6.00 per cate, has not had the market success that managers expected and the company is considering dropping Bubbs. The product line income statement for the past 12 months follows: 14,704,650 Revenue Cost Manufacturing costs Allocated corporate costs ( Product line margin Allowance for tax (20) Product-ine profit Closs) 14,447,95 215,239 5 15.100.128 (470,470) 05.05 (382,783) $ All products at Luke receive an allocation of corporate overhead costs, which is computed as 5 percent of product revenue. The 5 percent rate in computed based on the most recent year's corporate cost as a percentage of revenue Data on corporate costs and revenues for the past two years follow Corporate event Cirporate Overhead Costs Most recent year $121,750,000 5 6,687,500 Previous year 77,700,000 5,109,500 Roy O Andre, the product manager for Bubbs, is concemned about whether the product will be dropped by the company and has employed you as a financial consultant to help with some analysis. In addition to the information given, Mr Andre provides you with the following data on product costs for Bubbs Month Production costs 1 222,000 $1,264,300 2 224,700 1,135,60 3 222,400 1,194,493 4 243.000 1,210,035 5 250,450 1,212,339 6 252.000 1,233,185 7 227,750 1,203,211 254,700 1,251,206 9 246,300 1,249,738 1 200,150 1,261,037 11 257,700 1,266,272 266,700 1,296,963 Required: a. Bunk Stores has requested a quote for a special order of Bubbs. This order would not be subject to any corporate allocation and would not affect corporate costs). What is the minimum price Mr. Andre can offer Bunk without reducing profit any further b. How many cases of Bubois does Luke have to sell in order to break even on the product? C. Suppose Luke has a requirement that all products have to earn 5 percent of sales after tax and corporate allocations or they will be dropped. How many cases of Bubbs does Mr. Andre need to sell to avoid seeing Bubbs dropped? d. Assume all costs and prices will be the same in the next yearIf Luke drops Bubbs, how much will Luke's profits increase or decrease? Assume that fixed production costs can be avoided if Bubbs is dropped Complete this question by entering your answers in the tabs below. Required A Required B Required Required Bunk Stores has requested a quote for a special order of Bubbs. This order would not be subject to any corporate allocation (and would not affect corporate costs). What is the minimum price Mr. Andre can offer Bunk without reducing profit any further? (Round your answer to 2 dedmal places. (1.e. 32.21) Minimum price 2 22 perce Required 8 > Integrative Cose 5-72 (Algo) Cost Estimation, CVP Analysis and Decision Making (LO 5-4.5.9) Luke Corporation produces a variety of products, each within their own division. Last year, the manager of Luke developed and began marketing a new chewing gum, Bubbs, to sell in vending machines. The product, which sells for $6,00 per case has not had the market success that managers expected and the company is considering dropping Bubbs The product-line Income statement for the past 12 months follows: $ 14,704,650 Revenue Costs Manufacturing costs Allocated corporate costs (5) Product line margin Aliance for tax (20) Product-line profit (loss) $14,447,895 235,23 $ 15.11.12 (471,478) 95,65 (362,703) 5 All products at Luke receive an allocation of corporate overhead costs, which is computed as 5 percent of product revenue The 5 percentrate is computed based on the most recent year's corporate cost as a percentage of revenue Date on corporate costs and revenues for the past two years follow Corporate event Corporate Oveel costs Most recent year $ 121,750,000 $ 6,057,500 Previous year 77.700.000 5,109,500 Roy O. Andre, the product manager for Bubbs, is concerned about whether the product will be dropped by the company and has employed you as a financial consultant to help with some analysis. In addition to the information given, Mr. Andre provides you with the following data on product costs for Bubbs Cases Production Costs 1 222,000 $1,154,340 2 224,700 1,185,540 222,400 1,194,493 4 243,000 1,210,035 5 1,212,339 E 252,000 1,233,185 7 227,750 1,200,211 254,700 1,251,234 9 1,249,730 10 260,150 1,261,837 21 257,700 1,206,272 266,700 Required: .. Bunk Stores has requested a quote for a special order of Bubbs. This order would not be subject to any corporate allocation and would not affect corporate costs) What is the minimum price Mc Andre can offer Bunk without reducing profit any further b. How many cases of Bubbs does Luke have to sell in order to break even on the products c. Suppose Luke has requirement that all products have to earn 5 percent of sales oftetox and corporate allocations or they will be dropped How many cases of Bubbs does Mr Andre need to sell to avoid seeing Bubbs dropped d. Assume all costs and prices will be the same in the next year iftuke drops Bubbs, how much will Luke's profits increase or decrease? Assume that feed production costs can be avoided Bubbs is dropped. Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required Required Required Required How many cases of Bubbs does Luke have to see in order to break even on the product? (Round variable cost percentage to 2 decimal places, fed costs to whole dollar amcant and profit per case to 3 decimal places for intermediate actions. Round your final answer up to the nearest whole unit.) of catt 108 239 Integrative Case 5-72 (Algo) Cost Estimation, CVP Analysis, and Decision Making (LO 5-4.5.9) Luke Corporation produces a variety of products, each within their own division. Last year, the manager Cuke developed and began marketing a new chewing gum, Bubts, to sell in vending machines. The product, which sells for $6.00 percase, has not had the market success that managers expected and the company is considering dropping Bubbs The product line income statement for the past months follows: even $ 34,7,650 $ 34,447,095 735,213 Manufacturing costs Allocated corporate costs (EN) Product line mange Allowance for tax (2) Product-line profit (Loss) 15,133,128 (478,478) 95.695 (362.783) All products at Luke receive an allocation of corporate overhead Costs, which is computed as 5 percent of product revenue. Thes percent rate is computed based on the most recent year's corporate cost as a percentage of revenue Data on corporate costs and revenues for the past two years follow Corporate event Corporate Detests Mest recent year $ 121,750,000 $ 5,087,500 Previous year 77.700.000 5,305,590 Roy O. Andre, the product manager for Bubbs, is concerned about whether the product will be dropped by the company and hos employed you as a financial consultant to help with some analysis. In addition to the information given, Mr. Andre provides you with the following data on product costs for Bubbs 1 2 5 Cases 222,000 224,700 222,400 23,000 250,450 252.000 22,250 254,700 246,300 260,150 257,700 266,700 Production costs $1,164,340 1,185,0 1,194,493 1,210,05 1,212,339 1,233,185 1,285,211 1,251.286 1,249,738 1,261,007 1,266,272 7. 10 12 Required: - Bunk Stores has requested a quote for a special order of Bubbs. This order would not be subject to any corporate allocation and would not affect corporate costs. What is the minimum price Mr. Andre can offer Bunk without reducing profit any further b. How many cases of Bubbs does Luke have to tell in order to break even on the product? c. Suppose Luke hos n requirement that all products have to earn 5 percent of sales after tax and corporate allocations or they will be dropped How many cases of Bubbs does Mr Andre need to sell 10 avoid seeing Bubos dropped? d. Assume all costs and prices will be the same in the next year I Luke drops Bubbs, how much will Luke's profs increase or decrease? Assume that fed production costs can be avoided if Bubbs is dropped Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required a Required equired Required Suppose Like has a requirement that all products have to earn 5 percent of sales (after tax and corporate allocations) or they will be dropped. How many cases of Bubbis does Mr. Andre need to sell to avoid seeing Bubbs dropped? (Round your minimum price per case to 2 decimal places and do not round your other intermediate calculations found your final answer up to the nearest whole unit Show less Number of caset 120,579 Luke Corporation produces a variety of products, each within their own division. Last year the managers or Luke developed and begon marketing a new chewing gum, Bubbs, to sell in vending machines. The product, which sells for $6.00 per cose, has not had the market success that managers expected and the company is considering dropping Bubbs The product-line income statement for the past 12 months follows 5 14,704,650 Revenue Costs Manufacturing costs Allocated corporate costs (es) Product line margin Allowance for tax (29) Product Line profit (less) $14,447,005 25.232 $ (470,470) 5,95 (382,703) 5 All products at Luke receive an allocation of corporate overhead costs, which is computed as 5 percent of product revenue. The 5 percent rate is computed based on the most recent year's corporate costas a percentage of revenue. Data on corporate costs and revenues for the past two years follow Corporate event Corporate veted Costs Most recent year $ 121,750,000 5 6,857,500 Previous yeer 77,700,000 5,129.500 Monts Roy Andre, the product manager for Bubbs, is concerned about whether the product will be dropped by the company and has employed you as a financial consultant to help with some analysis. In addition to the information given, Mr Andre provides you with the following data on product costs for Babbu Praction Costa 1 222.000 $1,164,0 2 224,700 1.185,840 3 222,400 1,194,493 4 243.000 1,218,15 5 250,450 1,212,139 6 252,000 1,233,155 2 227.750 8 1,200,211 254,700 1,251,286 9 246,300 1,249,730 TO 250,150 1,261,337 11 257,700 1,266,272 12 266,700 1,296,963 Required: .. Bunk Stores has requested a quote for a special order of Bubbs This order would not be subject to any corporate allocation and would not affect corporate costs What's the minimum price M. Andre can offer Bunk without reducing profit any further b. How many cases of Bubbs does Luke have to sell in order to break even on the product? c. Suppose luke has a requirement that all products have to earn 5 percent of sales (after tax and corporate allocations) or they will be dropped. How many cases of Bubbs does Me Andre need to sell to avoid seeing Bubbs dropped? d. Assume al costs and prices will be the same in the next year. If Luke drops Bubbs, how much will Luke's profits increase of decrease? Assume that fixed production costs can be avoided if Bubbs is dropped Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required A Required Required Required Assume al costs and prices will be the same in the next year. If Luke drops Bubb, how much will Luke's profits increase or decrease Assume that food production costs can be avoided if Bubbs is dropped. (Usa variabile cost percentage to 2 decimal places. Round intermediate calculations and final answer to nearest whole dollar amount) Picht Increase 3 55.751 (Required Integrative Case 5-72 (Algo) Cost Estimation, CVP Analysis, and Decision Making (LO 5-4.5.9) Luke Corporation produces a variety of products, each within their own division. Last year, the managers at Luke developed and began marketing a new chewing gum, Bubbs, to sell in vending machines. The product, which sells for $6.00 per cate, has not had the market success that managers expected and the company is considering dropping Bubbs. The product line income statement for the past 12 months follows: 14,704,650 Revenue Cost Manufacturing costs Allocated corporate costs ( Product line margin Allowance for tax (20) Product-ine profit Closs) 14,447,95 215,239 5 15.100.128 (470,470) 05.05 (382,783) $ All products at Luke receive an allocation of corporate overhead costs, which is computed as 5 percent of product revenue. The 5 percent rate in computed based on the most recent year's corporate cost as a percentage of revenue Data on corporate costs and revenues for the past two years follow Corporate event Cirporate Overhead Costs Most recent year $121,750,000 5 6,687,500 Previous year 77,700,000 5,109,500 Roy O Andre, the product manager for Bubbs, is concemned about whether the product will be dropped by the company and has employed you as a financial consultant to help with some analysis. In addition to the information given, Mr Andre provides you with the following data on product costs for Bubbs Month Production costs 1 222,000 $1,264,300 2 224,700 1,135,60 3 222,400 1,194,493 4 243.000 1,210,035 5 250,450 1,212,339 6 252.000 1,233,185 7 227,750 1,203,211 254,700 1,251,206 9 246,300 1,249,738 1 200,150 1,261,037 11 257,700 1,266,272 266,700 1,296,963 Required: a. Bunk Stores has requested a quote for a special order of Bubbs. This order would not be subject to any corporate allocation and would not affect corporate costs). What is the minimum price Mr. Andre can offer Bunk without reducing profit any further b. How many cases of Bubois does Luke have to sell in order to break even on the product? C. Suppose Luke has a requirement that all products have to earn 5 percent of sales after tax and corporate allocations or they will be dropped. How many cases of Bubbs does Mr. Andre need to sell to avoid seeing Bubbs dropped? d. Assume all costs and prices will be the same in the next yearIf Luke drops Bubbs, how much will Luke's profits increase or decrease? Assume that fixed production costs can be avoided if Bubbs is dropped Complete this question by entering your answers in the tabs below. Required A Required B Required Required Bunk Stores has requested a quote for a special order of Bubbs. This order would not be subject to any corporate allocation (and would not affect corporate costs). What is the minimum price Mr. Andre can offer Bunk without reducing profit any further? (Round your answer to 2 dedmal places. (1.e. 32.21) Minimum price 2 22 perce Required 8 > Integrative Cose 5-72 (Algo) Cost Estimation, CVP Analysis and Decision Making (LO 5-4.5.9) Luke Corporation produces a variety of products, each within their own division. Last year, the manager of Luke developed and began marketing a new chewing gum, Bubbs, to sell in vending machines. The product, which sells for $6,00 per case has not had the market success that managers expected and the company is considering dropping Bubbs The product-line Income statement for the past 12 months follows: $ 14,704,650 Revenue Costs Manufacturing costs Allocated corporate costs (5) Product line margin Aliance for tax (20) Product-line profit (loss) $14,447,895 235,23 $ 15.11.12 (471,478) 95,65 (362,703) 5 All products at Luke receive an allocation of corporate overhead costs, which is computed as 5 percent of product revenue The 5 percentrate is computed based on the most recent year's corporate cost as a percentage of revenue Date on corporate costs and revenues for the past two years follow Corporate event Corporate Oveel costs Most recent year $ 121,750,000 $ 6,057,500 Previous year 77.700.000 5,109,500 Roy O. Andre, the product manager for Bubbs, is concerned about whether the product will be dropped by the company and has employed you as a financial consultant to help with some analysis. In addition to the information given, Mr. Andre provides you with the following data on product costs for Bubbs Cases Production Costs 1 222,000 $1,154,340 2 224,700 1,185,540 222,400 1,194,493 4 243,000 1,210,035 5 1,212,339 E 252,000 1,233,185 7 227,750 1,200,211 254,700 1,251,234 9 1,249,730 10 260,150 1,261,837 21 257,700 1,206,272 266,700 Required: .. Bunk Stores has requested a quote for a special order of Bubbs. This order would not be subject to any corporate allocation and would not affect corporate costs) What is the minimum price Mc Andre can offer Bunk without reducing profit any further b. How many cases of Bubbs does Luke have to sell in order to break even on the products c. Suppose Luke has requirement that all products have to earn 5 percent of sales oftetox and corporate allocations or they will be dropped How many cases of Bubbs does Mr Andre need to sell to avoid seeing Bubbs dropped d. Assume all costs and prices will be the same in the next year iftuke drops Bubbs, how much will Luke's profits increase or decrease? Assume that feed production costs can be avoided Bubbs is dropped. Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required Required Required Required How many cases of Bubbs does Luke have to see in order to break even on the product? (Round variable cost percentage to 2 decimal places, fed costs to whole dollar amcant and profit per case to 3 decimal places for intermediate actions. Round your final answer up to the nearest whole unit.) of catt 108 239 Integrative Case 5-72 (Algo) Cost Estimation, CVP Analysis, and Decision Making (LO 5-4.5.9) Luke Corporation produces a variety of products, each within their own division. Last year, the manager Cuke developed and began marketing a new chewing gum, Bubts, to sell in vending machines. The product, which sells for $6.00 percase, has not had the market success that managers expected and the company is considering dropping Bubbs The product line income statement for the past months follows: even $ 34,7,650 $ 34,447,095 735,213 Manufacturing costs Allocated corporate costs (EN) Product line mange Allowance for tax (2) Product-line profit (Loss) 15,133,128 (478,478) 95.695 (362.783) All products at Luke receive an allocation of corporate overhead Costs, which is computed as 5 percent of product revenue. Thes percent rate is computed based on the most recent year's corporate cost as a percentage of revenue Data on corporate costs and revenues for the past two years follow Corporate event Corporate Detests Mest recent year $ 121,750,000 $ 5,087,500 Previous year 77.700.000 5,305,590 Roy O. Andre, the product manager for Bubbs, is concerned about whether the product will be dropped by the company and hos employed you as a financial consultant to help with some analysis. In addition to the information given, Mr. Andre provides you with the following data on product costs for Bubbs 1 2 5 Cases 222,000 224,700 222,400 23,000 250,450 252.000 22,250 254,700 246,300 260,150 257,700 266,700 Production costs $1,164,340 1,185,0 1,194,493 1,210,05 1,212,339 1,233,185 1,285,211 1,251.286 1,249,738 1,261,007 1,266,272 7. 10 12 Required: - Bunk Stores has requested a quote for a special order of Bubbs. This order would not be subject to any corporate allocation and would not affect corporate costs. What is the minimum price Mr. Andre can offer Bunk without reducing profit any further b. How many cases of Bubbs does Luke have to tell in order to break even on the product? c. Suppose Luke hos n requirement that all products have to earn 5 percent of sales after tax and corporate allocations or they will be dropped How many cases of Bubbs does Mr Andre need to sell 10 avoid seeing Bubos dropped? d. Assume all costs and prices will be the same in the next year I Luke drops Bubbs, how much will Luke's profs increase or decrease? Assume that fed production costs can be avoided if Bubbs is dropped Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required a Required equired Required Suppose Like has a requirement that all products have to earn 5 percent of sales (after tax and corporate allocations) or they will be dropped. How many cases of Bubbis does Mr. Andre need to sell to avoid seeing Bubbs dropped? (Round your minimum price per case to 2 decimal places and do not round your other intermediate calculations found your final answer up to the nearest whole unit Show less Number of caset 120,579 Luke Corporation produces a variety of products, each within their own division. Last year the managers or Luke developed and begon marketing a new chewing gum, Bubbs, to sell in vending machines. The product, which sells for $6.00 per cose, has not had the market success that managers expected and the company is considering dropping Bubbs The product-line income statement for the past 12 months follows 5 14,704,650 Revenue Costs Manufacturing costs Allocated corporate costs (es) Product line margin Allowance for tax (29) Product Line profit (less) $14,447,005 25.232 $ (470,470) 5,95 (382,703) 5 All products at Luke receive an allocation of corporate overhead costs, which is computed as 5 percent of product revenue. The 5 percent rate is computed based on the most recent year's corporate costas a percentage of revenue. Data on corporate costs and revenues for the past two years follow Corporate event Corporate veted Costs Most recent year $ 121,750,000 5 6,857,500 Previous yeer 77,700,000 5,129.500 Monts Roy Andre, the product manager for Bubbs, is concerned about whether the product will be dropped by the company and has employed you as a financial consultant to help with some analysis. In addition to the information given, Mr Andre provides you with the following data on product costs for Babbu Praction Costa 1 222.000 $1,164,0 2 224,700 1.185,840 3 222,400 1,194,493 4 243.000 1,218,15 5 250,450 1,212,139 6 252,000 1,233,155 2 227.750 8 1,200,211 254,700 1,251,286 9 246,300 1,249,730 TO 250,150 1,261,337 11 257,700 1,266,272 12 266,700 1,296,963 Required: .. Bunk Stores has requested a quote for a special order of Bubbs This order would not be subject to any corporate allocation and would not affect corporate costs What's the minimum price M. Andre can offer Bunk without reducing profit any further b. How many cases of Bubbs does Luke have to sell in order to break even on the product? c. Suppose luke has a requirement that all products have to earn 5 percent of sales (after tax and corporate allocations) or they will be dropped. How many cases of Bubbs does Me Andre need to sell to avoid seeing Bubbs dropped? d. Assume al costs and prices will be the same in the next year. If Luke drops Bubbs, how much will Luke's profits increase of decrease? Assume that fixed production costs can be avoided if Bubbs is dropped Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required A Required Required Required Assume al costs and prices will be the same in the next year. If Luke drops Bubb, how much will Luke's profits increase or decrease Assume that food production costs can be avoided if Bubbs is dropped. (Usa variabile cost percentage to 2 decimal places. Round intermediate calculations and final answer to nearest whole dollar amount) Picht Increase 3 55.751 (Required

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