Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

pLEASE ANSWER ABC Company designs a new four slots toaster that can be adjusted to the various thickness of bread and bagel. The pricing plan

pLEASE ANSWER

image text in transcribed
ABC Company designs a new four slots toaster that can be adjusted to the various thickness of bread and bagel. The pricing plan for the new toaster. Target price $ 97.50 The company requires new products be priced such that 30% of the price is profit. Required: a) Compute the amount of desired profit per unit of new toaster. (1 Mark) b) Compute the target cost per unit of new toaster. (1 Mark) ABC Company manufactures three types of filing boxes. Each type requires the use of a special machine that has a limited capacity each year. Information on the three types of storage units is as follows: Special machine capacity 18,000 Basic Standard Selling price Variable cost 10.80 $ 36.00 7.20 $ 24.00 Machine hours required 0.12 0.60 The company believes that it can sell as many units as it can produce for each type of the products. Required: c) Compute the number of each type of products to be produced (4 Marks ) to MAXIMIZE the company's contribution margin. Basic (Hint: the type of product that has the highest contribuiton margin per machine hour should be produced first, followed by the next highest in order, and then the least contribution margin. The number of units that can be produced is constrained by the special machine capacity.) Standard

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

Bookkeeping All In One For Dummies

Authors: Consumer Dummies

1st Edition

1119094216, 978-1119094210

More Books

Students also viewed these Accounting questions

Question

What do you mean by dual mode operation?

Answered: 1 week ago

Question

Explain the difference between `==` and `===` in JavaScript.

Answered: 1 week ago