Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

PLEASE HELP ME WITH ALL 5 QUESTIONS BELOW. THANK YOU systems. One of its products, the Hello Home model, sells for $75.00 and has manufacturing

PLEASE HELP ME WITH ALL 5 QUESTIONS BELOW. THANK YOU

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed systems. One of its products, the Hello Home model, sells for $75.00 and has manufacturing costs given in the table. Hi's DIY Stores has requested 5,000 thermostats from Chill. Hi's is offering to pay a unit price of $65.00 per thermostat. The special order items could be based on the Hello Home model but Chill estimates added costs per unit of $7.00 for materials, $2.00 for labor, and $1.00 for variable overhead would be needed. Chill has the capacity to produce the special order units without affecting its regular production of 25,000 units per month. Chill would need to rent testing equipment costing $15,000 to meet Hi's quality control standards. What is the total revenue associated with the Hl's order? model, sells for $75.00 and has manufacturing costs given in the table. Hi's DIY Stores has requested 5,000 thermostats from Chill. Hi's is offering to pay a unit price of $65.00 per thermostat. The special order items could be based on the Hello Home model but Chill estimates added costs per unit of $7.00 for materials, $2.00 for labor, and $1.00 for variable overhead would be needed. Chill has the capacity to produce the special order units without affecting its regular production of 25,000 units per month. Chill would need to rent testing equipment costing $15,000 to meet Hi's quality control standards. What price per unit should Chill quote HI's if Chill requires a 15% mark up on cost for special orders? Chill Products manufactures smart thermostats for home climate control (HVAC) systems. One of its products, the Hello Home model, sells for $75.00 and has manufacturing costs given in the table. Hi's DIY Stores has requested 5,000 thermostats from Chill. Hi's is offering to pay a unit price of $65.00 per thermostat. The special order items could be based on the Hello Home model but Chill estimates added costs per unit of $7.00 for materials, $2.00 for labor, and $1.00 for variable overhead would be needed. Chill has the capacity to produce the special order units without affecting its regular production of 25,000 units per month. Chill would need to rent testing equipment costing $15,000 to meet Hi's quality control standards. Hi's requires the order to be delivered by the end of July. Due to supply chain issues Chill anticipates only having sufficient direct materials to make a total of 29,000 units of Hello Home based product in July. Therefore, in order to meet the due date for the special order Chill would have to limit production of regular Hello Home units to 24,000 that month. Recalculate your answer to Q3 taking into account the opportunity cost associated with the foregone sales of 1,000 Hello Home units in July. thermostats for home climate control (HVAC) systems. One of its products, the Hello Home model, sells for $75.00 and has manufacturing costs given in the table. Hi's DIY Stores has requested 5,000 thermostats from Chill. Hi's is offering to pay a unit price of $65.00 per thermostat. The special order items could be based on the Hello Home model but Chill estimates added costs per unit of $7.00 for materials, $2.00 for labor, and $1.00 for variable overhead would be needed. Chill has the capacity to produce the special order units without affecting its regular production of 25,000 units per month. Chill would need to rent testing equipment costing $15,000 to meet Hi's quality control standards. What is the total variable cost Chill would incur to fulfill the Hi's order? thermostats from Chill. Hi's is offering to pay a unit price of $65.00 per thermostat. The special order items could be based on the Hello Home model but Chill estimates added costs per unit of $7.00 for materials, $2.00 for labor, and $1.00 for variable overhead would be needed. Chill has the capacity to produce the special order units without affecting its regular production of 25,000 units per month. Chill would need to rent testing equipment costing $15,000 to meet Hi's quality control standards. What are the total incremental costs Chill would incur to fulfill the Hi's order

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_2

Step: 3

blur-text-image_3

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

Principles Of Managerial Accounting

Authors: Christine Jonick, Dahlonega, GA

1st Edition

1940771455, 9781940771458

More Books

Students also viewed these Accounting questions

Question

Explain how the appraisal interview should be conducted.

Answered: 1 week ago

Question

Summarize training and development implementation issues.

Answered: 1 week ago

Question

Describe management development.

Answered: 1 week ago