Please assist with 5 Brief Exercise. ACCT 561

Assignment Week 6

Ex21-3

Brief Exercise 20-4 Manson Industries incurs unit costs of $7 ($4 variable and $3 fixed) in making an assembly part for its finished product. A supplier offers to make 17,800 of the assembly part at $5 per unit. If the offer is accepted, Manson will save all variable costs but no fixed costs. Prepare an analysis showing the total cost saving, if any, Manson will realize by buying the part. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Make Net Income Increase (Decrease) Buy $ $ $ $ $ Variable manufacturing costs Fixed manufacturing costs Purchase price $ Total annual cost The decision should be to the part. quest3187831ent quest3187831 asnmt1713398 take-question a Brief Exercise 20-3 At Bargain Electronics, it costs $29 per unit ($16 variable and $13 fixed) to make an MP3 player at full capacity that normally sells for $51. A foreign wholesaler offers to buy 4,750 units at $25 each. Bargain Electronics will incur special shipping costs of $1 per unit. Assuming that Bargain Electronics has excess operating capacity, indicate the net income (loss) Bargain Electronics would realize by accepting the special order. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Reject Accept Net Income Order Order Increase (Decrease) $ $ $ Revenues Costs-Manufacturing Shipping Net income $ $ $ The special order should be . quest3188411ent quest3188411 asnmt1713398 take-question a Exercise 21-3 Thome and Crede, CPAs, are preparing their service revenue (sales) budget for the coming year (2017). The practice is divided into three departments: auditing, tax, and consulting. Billable hours for each department, by quarter, are provided below. Department Quarter 1 Auditing Tax Consulting Quarter 2 2,520 3,150 1,770 Quarter 3 1,870 2,790 1,770 Quarter 4 2,100 2,310 1,770 2,620 2,680 1,770 Average hourly billing rates are auditing $82, tax $93, and consulting $102. Prepare the service revenue (sales) budget for 2017 by listing the departments and showing for each quarter and the year in total, billable hours, billable rate, and total revenue. THOME AND CREDE, CPAs Sales Revenue Budget Quarter 1 Dept. Billable Hours Quarter 2 Billable Rate Total Rev. $ Auditing Tax $ Billable Hours Billable Rate Total Rev. $ $ Consultin g $ $ Totals THOME AND CREDE, CPAs Sales Revenue Budget Quarter 3 Dept. Billable Hours Quarter 4 Billable Rate Billable Hours Total Rev. $ $ Billable Rate Total Rev. $ $ Auditing Tax Consultin g $ Totals THOME AND CREDE, CPAs Sales Revenue Budget Year Dept. Billable Hours Billable Rate Total Rev. $ $ Auditing Tax Consultin g $ Totals $ Don't show me this message again for the assignment quest3188411ent quest3188411 asnmt1713398 take-question a Exercise 21-3 Thome and Crede, CPAs, are preparing their service revenue (sales) budget for the coming year (2017). The practice is divided into three departments: auditing, tax, and consulting. Billable hours for each department, by quarter, are provided below. Department Quarter 1 Auditing Tax Consulting Quarter 2 2,520 3,150 1,770 Quarter 3 1,870 2,790 1,770 Quarter 4 2,100 2,310 1,770 2,620 2,680 1,770 Average hourly billing rates are auditing $82, tax $93, and consulting $102. Prepare the service revenue (sales) budget for 2017 by listing the departments and showing for each quarter and the year in total, billable hours, billable rate, and total revenue. THOME AND CREDE, CPAs Sales Revenue Budget Quarter 1 Dept. Auditing Billable Hours Quarter 2 Billable Rate Total Rev. $ $ Billable Hours Billable Rate Total Rev. $ $ Tax Consultin g $ $ Totals THOME AND CREDE, CPAs Sales Revenue Budget Quarter 3 Dept. Billable Hours Quarter 4 Billable Rate Billable Hours Total Rev. $ $ Billable Rate Total Rev. $ $ Auditing Tax Consultin g $ Totals THOME AND CREDE, CPAs Sales Revenue Budget Year Dept. Billable Hours Billable Rate Total Rev. $ Auditing Tax $ $ Consultin g $ Totals Don't show me this message again for the assignment