need solutions to these questions please
PRINTER VERSION BACK NEXT Exercise 7.17 Pender has prepared the following list of statements about decision-making and incremental analysis: Identify each statement as true or false 1. The first step in management's decision-making process is to determine and evaluate possible courses of action 2. The final step in management's decision-making process is to actually make the decision. 3. Accounting's contribution to management's decision-making process occurs primarily in evaluating possible courses of action and in reviewing the results. 4. In making business decisions, management ordinarily considers only financial information because it is objectively determined. 5. Decisions involve a choice among alternative courses of action. 6. The process used to identify the financial data that change under alternative courses of action is called incremental analysis. 7. Costs that are the same under all alternative courses of action sometimes affect the decision. 8. When using incremental analysis, some costs will ayways change under alternative courses of action, but revenues will not. 9. Variable costs will change under alternative courses of action, but fixed costs will not SY Telc has recently started to manufacture RecRobo, a three-wheeled robot that can scan a home for fires and gas leaks and then transmit this information to a mobile phone. The cost structure to manufacture 19,900 RecRobos is as follows: Cost Direct materials ($37 per robot) Direct labour ($25 per robot) Variable overhead ($4 per robot) Allocated fixed overhead ($20 per robot) Total $736,300 497,500 79,600 398,000 $1,711,400 SY Telc is approached by Chen Inc., which offers to make RecRobo for $63 per unit or $1,253,700. Using incremental analysis, determine whether SY Telc should accept this offer under each of the following independent assumptions: (1) Assume that $238,800 of the fixed overhead cost is avoidable. (If an amount reduces the net income then enter with a negative sign preceding the number e.g. -15,000 or parenthesis, e.g. (15,000).) Net Income Increase (Decrease) Make Buy PRIRE ECES Should the offer be accepted? (2) Assume that none of the fixed overhead is avoidable. However, if the robots are purchased from Chen Inc., SY Telc can use the released productive resources to generate additional income of $138,800. (If an amount reduces the net income then enter with a negative sign preceding the number e.g. - 15,000 or parenthesis, e.g. (15,000).) Net Income Increase (Decrease) Make Buy Should the offer be accepted? ES Problem 7.34A a-c Pro Sports Inc. manufactures basketballs for professional basketball associations. For the first six months of 2020, the company reported the following operating results while operating at 90% of plant capacity: 6 Sales Cost of goods sold Selling and administrative expenses Amount $5,232,600 3,591,000 451,440 $1,190,160 Per Unit $51.00 35.00 4.40 $11.60 dy Net income Fixed costs for the period were cost of goods sold of $1,026,000, and selling and administrative expenses of $184,680. In July, normally a slack manufacturing month, Pro Sports receives a special order for 10,260 basketballs at $32 each from the Italian Basketball Association. Accepting the order would increase variable selling and administrative expenses by $0.50 per unit because of shipping costs, but it would not increase fixed costs and expenses Prepare an incremental analysis for the special order. (Round per unit calculations to 2 decimal places, e.g. 15.25 and final answers to o decimal places, 0.9. 125.) Incremental revenue Incremental cost: Variable COGS $ Variable S & A Additional S&A Incremental income Guy W LULUS Imported From Sa Wrette PLUS Weygandt, Managerial Accounting, Fifth Canadian Edition Help System Announcements PRINTER VERSION BACK URCES Variable S & A Additional S&A a Incremental income Study LINK TO TEXT Should Pro Sports Inc. accept the special order? Pro Sports Inc. should the special order. LINK TO TEXT What is the minimum selling price on the special order to produce net income of $5.00 per ball? (Round answer to the 2 decimal places, e.g. 15.25.) Minimum selling price $ LINK TO TEXT Question Attempts: 0 of 3 used SAVE FOR LATER SUBMIT ANSWI PRINTER VERSION BACK NEXT ECES WileyPLUS Problem 7.6 Sew It Inc. has an industrial sewing machine that it has used for the past 5 years. The company is considering replacing the machine with a faster model as it is starting to break down more often. As it will be faster and eliminate overtime, it will increase revenues by $4,850 per year over its useful life of 6 years. Current Machine $28,000 $22,800 6 years New Machine $25,000 Original purchase cost Accumulated depreciation Useful life tudy 6 years If sold now, the current sewing machine would have a salvage value of $5,000. If it is used for the remainder of its useful life, the current sewing machine would have zero salvage value. The new sewing machine is expected to have zero salvage value after 6 years. Determine whether the current sewing machine should be replaced. (Ignore the time value of money.) (If an amount reduces the net income then enter with a negative sign preceding the number, e.g. -15,000 or parenthesis, e.g. (15,000).) Retain Replace Incremental cost savings Incremental revenues New machine cost Proceeds from sale of old machine Net Incremental savings The company replace the sewing machine. LINK TO TEXT PRINTER VERSION BACK NEXT Exercise 7.17 Pender has prepared the following list of statements about decision-making and incremental analysis: Identify each statement as true or false 1. The first step in management's decision-making process is to determine and evaluate possible courses of action 2. The final step in management's decision-making process is to actually make the decision. 3. Accounting's contribution to management's decision-making process occurs primarily in evaluating possible courses of action and in reviewing the results. 4. In making business decisions, management ordinarily considers only financial information because it is objectively determined. 5. Decisions involve a choice among alternative courses of action. 6. The process used to identify the financial data that change under alternative courses of action is called incremental analysis. 7. Costs that are the same under all alternative courses of action sometimes affect the decision. 8. When using incremental analysis, some costs will ayways change under alternative courses of action, but revenues will not. 9. Variable costs will change under alternative courses of action, but fixed costs will not SY Telc has recently started to manufacture RecRobo, a three-wheeled robot that can scan a home for fires and gas leaks and then transmit this information to a mobile phone. The cost structure to manufacture 19,900 RecRobos is as follows: Cost Direct materials ($37 per robot) Direct labour ($25 per robot) Variable overhead ($4 per robot) Allocated fixed overhead ($20 per robot) Total $736,300 497,500 79,600 398,000 $1,711,400 SY Telc is approached by Chen Inc., which offers to make RecRobo for $63 per unit or $1,253,700. Using incremental analysis, determine whether SY Telc should accept this offer under each of the following independent assumptions: (1) Assume that $238,800 of the fixed overhead cost is avoidable. (If an amount reduces the net income then enter with a negative sign preceding the number e.g. -15,000 or parenthesis, e.g. (15,000).) Net Income Increase (Decrease) Make Buy PRIRE ECES Should the offer be accepted? (2) Assume that none of the fixed overhead is avoidable. However, if the robots are purchased from Chen Inc., SY Telc can use the released productive resources to generate additional income of $138,800. (If an amount reduces the net income then enter with a negative sign preceding the number e.g. - 15,000 or parenthesis, e.g. (15,000).) Net Income Increase (Decrease) Make Buy Should the offer be accepted? ES Problem 7.34A a-c Pro Sports Inc. manufactures basketballs for professional basketball associations. For the first six months of 2020, the company reported the following operating results while operating at 90% of plant capacity: 6 Sales Cost of goods sold Selling and administrative expenses Amount $5,232,600 3,591,000 451,440 $1,190,160 Per Unit $51.00 35.00 4.40 $11.60 dy Net income Fixed costs for the period were cost of goods sold of $1,026,000, and selling and administrative expenses of $184,680. In July, normally a slack manufacturing month, Pro Sports receives a special order for 10,260 basketballs at $32 each from the Italian Basketball Association. Accepting the order would increase variable selling and administrative expenses by $0.50 per unit because of shipping costs, but it would not increase fixed costs and expenses Prepare an incremental analysis for the special order. (Round per unit calculations to 2 decimal places, e.g. 15.25 and final answers to o decimal places, 0.9. 125.) Incremental revenue Incremental cost: Variable COGS $ Variable S & A Additional S&A Incremental income Guy W LULUS Imported From Sa Wrette PLUS Weygandt, Managerial Accounting, Fifth Canadian Edition Help System Announcements PRINTER VERSION BACK URCES Variable S & A Additional S&A a Incremental income Study LINK TO TEXT Should Pro Sports Inc. accept the special order? Pro Sports Inc. should the special order. LINK TO TEXT What is the minimum selling price on the special order to produce net income of $5.00 per ball? (Round answer to the 2 decimal places, e.g. 15.25.) Minimum selling price $ LINK TO TEXT Question Attempts: 0 of 3 used SAVE FOR LATER SUBMIT ANSWI PRINTER VERSION BACK NEXT ECES WileyPLUS Problem 7.6 Sew It Inc. has an industrial sewing machine that it has used for the past 5 years. The company is considering replacing the machine with a faster model as it is starting to break down more often. As it will be faster and eliminate overtime, it will increase revenues by $4,850 per year over its useful life of 6 years. Current Machine $28,000 $22,800 6 years New Machine $25,000 Original purchase cost Accumulated depreciation Useful life tudy 6 years If sold now, the current sewing machine would have a salvage value of $5,000. If it is used for the remainder of its useful life, the current sewing machine would have zero salvage value. The new sewing machine is expected to have zero salvage value after 6 years. Determine whether the current sewing machine should be replaced. (Ignore the time value of money.) (If an amount reduces the net income then enter with a negative sign preceding the number, e.g. -15,000 or parenthesis, e.g. (15,000).) Retain Replace Incremental cost savings Incremental revenues New machine cost Proceeds from sale of old machine Net Incremental savings The company replace the sewing machine. LINK TO TEXT
