Answered step by step
Verified Expert Solution
Question
1 Approved Answer
I only need help figuring out the one in column 2 undercook directly above the third green check mark and column three directly below the
I only need help figuring out the one in column 2 undercook directly above the third green check mark and column three directly below the third green check mark.
Give an information:
you can ignore any information under the word required.
Suppose that the kitchenware chain has offered instead to buy 50,000 Cook models at $11 per unit and 30,000 Baker models at $39. This customer will purchase the models only in an all-or-nothing deal. That is, OPP must provide all 50,000 units of the cook model and 30,000 units of the Baker model or nothing at all. In view of its capacity constraints, OPP 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. (Round "Contribution margin per unit" to 2 decimal places.) Oakland Precision Products (OPP) manufactures and sells a variety of scales for the kitchen and office. OPP sells primarily to kitchenware stores, discount stores, and so on. Two of the scales it produces for kitchen use are the Cook and Baker. The Cook is a basic food scale. The Baker has a greater capacity and special features that facilitate adjusting baking recipes for more or fewer people. The following information is available: The average wage rate is $32 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 17,750 direct labor-hours. Required: a. A nationwide kitchenware chain has offered to buy 30,000 Cook models and 15,000 Baker models if the price is lowered to $11.20 and $38.60, respectively, per unit. a-1. If OPP accepts the offer, how many direct labor-hours will be required to produce the additional scalesStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started