Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Pharoah, Inc. has recently started the manufacture of Tri-Robo, a three-wheeled robot that can scan a home for fires and gas leaks and then

image text in transcribedimage text in transcribed

Pharoah, Inc. has recently started the manufacture of Tri-Robo, a three-wheeled robot that can scan a home for fires and gas leaks and then transmit this information to a smartphone. The cost structure to manufacture 19,500 Tri-Robos is as follows. Cost Direct materials ($48 per robot) $936,000 Direct labor ($39 per robot) 760,500 Variable overhead ($6 per robot) 117,000 Allocated fixed overhead ($31 per robot) 604,500 Total $2,418,000 Pharoah is approached by Tienh Inc., which offers to make Tri-Robo for $113 per unit or $2,203,500. Following are independent assumptions.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting Tools for business decision making

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

6th Edition

978-0470477144, 1118096894, 9781118214657, 470477148, 111821465X, 978-1118096895

More Books

Students also viewed these Accounting questions

Question

Would YouTube have been possible without them? LO.1

Answered: 1 week ago