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One of your closest friends is an investor and an ench start a business selling now, becak-through office items a new office chair that is

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One of your closest friends is an investor and an ench start a business selling now, becak-through office items a new office chair that is more comfortably before and office table that is the most functional on the market. The table even has paling that is made of the same materials as the candies of the chairs to peovide extra com comfort. Your friend wants to start the business by opening a factory to produce the chairs and tables which can then be sold to either wholesalers er retallers who will then sell them to the general public. Aller searching all over creation for the right sted building in the perfect location to property meet the needs of his target customers, he found that the ideal building in which to put the factory was right here in gallons To build the chairs and tables, a machine was purchased and we were brod. Part of the manufacturing process for both products is fonted and part of the manufacturing process for both products is done by hand. The number of cach product to be reduced is as follows Yearly Number Of Chairs To Be Produced Yearby Number Of The To B Proced It is determined that to doce each product the following materials are code S. 121 Samas of Wend Scars Fost of Som Estar 1 Materials can be purchased for the following met Purchase Price Per Semest 50:45 50.17 It takes the following amounts of time to produce cach product. Was she produce each product are also paid the following hourly w The Minutes To Treached Werker Hotel Wags SI S1900 It has been determined that the productie process for both hans tables involves the following activities with their related activity drive Production Activities Machine St LMM Machinine Main Indices Fred It has been determined that each activity will require the money and cach product will come the following amounts of each activity deve 545 40 74 14 Activy Drive Machine Sct Number of Stupa Materials Mass Number of Men Mens Machining Machine Quality Control Homs of Analysis Insgesamte 52 10.400 00 Using what you read in the Infomation please the Song Make that your answers explainbow you performed ocks 11 Direct Materials Costner Chair and Table Anwar Erlanti 21 Direct Labor Costner Chair and The Explanatic 31 Factory Overhead Cost per Chair and Table Answer En One of your closest friends is an inventor and an entrepreneur who wants to start a business selling new, break-through office items:a new office chair that is more comfortable than any before it, and an office table that is the most functional on the market. The table even has padding that is made of the same materials as the cushions of the chairs to provide extra arm comfort. Your friend wants to start the business by opening a factory to produce the chairs and tables which can then be sold to either wholesalers or retailers who will then sell them to the general public. After searching all over creation for the right sized building in the perfect location to properly meet the needs of his target customers, he found that the ideal building in which to put up the factory was right here in Petersburg all along To build the chairs and tables, a machine was purchased and workers were hired. Part of the manufacturing process for both products is akitomated, and part of the manufacturing process for both products is done by hand. The number of each product to be produced is as follows: Yearly Number of Chairs To Be Produced Yearly Number Of Tables To Be Produced 107.0001 81,000 It is determined that to produce each product, the following materials are needed Square Feet of Wood Square Feet of Fabric Square Feet of Foam Per Chair 23 5 3 Per Table 123 3 1 Materials can be purchased for the following amounts: Wood Fabric Foam Purchase Price Per Square Foot 50.27 50.48 $0.12 It takes the following amounts of time to produce each product. Workers who produce each product are also paid the following hourly wage Table Wood $0.27 Fabric $0.48 Foam $0.17 Purchase Price Per Square Foot It takes the following amounts of time to produce cach product. Workers who produce each product are also paid the following hourly wage Minutes To Produce Each Product Worker Hourly Wage Chair 20 $13.00 Table 35 $19.00 It has been determined that the production process for both chairs and tables involves the following activities with their related activity drivers Production Activities Machine Setups Materials Moves Machining Quality Control Inspections Activity Driver Number of Setups Number of Material Moves Machine Hours Hours of Analysis Number of Inspections Type Variable Variable Variable Fixed Fixed It has been determined that each activity will require the following amounts of money and each product will consume the following amounts of each activity driver: Activity Drivers Machine Setups: Number of Setups Materials Moves: Number of Material Moves Machining Machine Hours Quality Control: Hours of Analysis Inspections: Number of Inspections Total Dollars Or Each Activity $45,000 $25,000 $50,000 $72,000 $72,000 Chairs 74 44 17,400 10,400 900 Tables 49 59 23,400 12,400 1150 1 Using what you read in the Information section, please determine the following. Make sure that your answers explain how you performed your calculations 53 1) Direct Materials Cost per Chair and Table Answer: 65 66 Explanation 2) Direct Labor Cost per Chair and Table Answer Explanation: 3) Factory Overhead Cost per Chair and Table Answers Explanation: 4) Total Cost Per Chair and Table Answer Explanation: 5) Variable Cost per Chairs and Table Answer: Explanation: 00 101 4) Total Cost Per Chair and Table Answer: Explanation: 5) Variable Cost per Chairs and Table Answer: Explanation: B 9 00 01 02 103 104 6) Fixed Cost per Chair and Table Answer 105 Explanation: 106 107 108 109 110 112

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