Q8:9

Required A

Required B1

Required B2

Required C1

Required C2

Ontario Audio makes a popular satelite radio receiver for over-the-road trucks and other professional uses. The two major parts of the radio are the electronics (recelver, speaket, and so on) and the metal case housing the radio. The electronics are manufactured at the Santa Rosa Plant, which send the resulting kits to the company's Borman Plant. The case is manufactured at the Borman Plant and the electronics kit and completed case are assembled, also at the Borman Plant. Weekly capacities and production levels are as follows: Ontario Audio does not sell electronic kits or cases separately. The company could sell as many as 1,350 radios per week. The radios (electronics kit assembled and enclosed in the case) sell for $125 per radio and have a variable cost of $62 each. Required: a. Is there a bottieneck at Ontario Radio in Santa Rosa Plant or Borman Plant? b. The Borman Plant Manager tells managers at Ontario Audio that the Plant could increase capacity by 300 cases (and radios) per week by producing cases in the evening after the normal shift. Producing in the evening would not affect the sales price or quantity. Variable cost per unit would increase by $20 for those produced in the evening because of the shift differential (overtime pay) for labor. Fxed costs would also increase by $11,000 per week. b-1. Calculate the differential operating profit (loss). b-2. Should Ontario Audio produce cases (and radios) in the evening? c. Independent of the situation in requirement (b). Ontario Audio could add additional equipment and workers in the Borman Plant, which would increase its capacity by 300 cases (and radios) per week. This would not affect the sales price or variable cost per unit but would increase fixed costs by $21,000 per week. c-1. Calculate the differential operating profit (loss). c-2. Should the company add the additional equipment and workers to the Borman Plant? Required: a. Is there a bottieneck at Ontario Radio in Santa Rosa Plant or Borman Plant? b. The Borman Plant Manager tells managers at Ontario Audio that the Plant could increase cappeity by 300 cases (and radios) per week by producing cases in the evening after the normal shift. Producing in the evening would hot affect the sales price or quantity. Variable cost per unit would increase by $20 for those produced in the evening because of the shift differential (overtime pay) for labor. Ficed costs would also increase by $11,000 per week, b-1. Calculate the differential operating profit (loss). b-2. Should Ontario Audio produce cases (and radios) in the evening? c. Independent of the situotion in requirement (b). Ontario Audio could add additional equipment and workers in the Borman Plant, which would increase its capacity by 300 cases (and radios) per week. This would not affect the sales price or variabie cost per unit but would increase fixed costs by $21,000 per week. c-1. Calculate the differential operating profit (loss). c-2. Should the company add the additional equipment and workers to the Borman Plant? Complete this question by entering your answers in the tabs below. Is there a bottieneck at Ontario Radio in Santa Rosa Plant or Borman Plant? b. The Borman Piant Manager tells managers at Ontario Audio that the Plant could increase capacity by 300 cases (and radios) per week by producing cases in the evening after the nocmal shift. Producing in the evening would not affect the sales price or quantity. Variable cost per unit would increase by $20 for those produced in the evening because of the shif differential (overtime payl for labot. Fixed costs would also increase by $11,000 per week b-1. Calculate the differential operating profit (loss) b-2. Should Ontario Audio produce cases (and radlos) in the evening? c. Independent of the situation in requirement (b). Ontario Audtio could add additional equipment and workers in the Borman Plant. which would increase its capecity by 300 cases (and radios) per week. This would not affect the sales price or variable cost per unit but would increese fixed costs by $21,000 per week. c-1, Calculate the differential operating profit (loss). c-2. Should the company add the additional equipment and workers to the Borman Plant? Complete this question by entering your answers in the tabs below. The Borman Plant Maneger tells managers at Ontario Audio that the Plant could increase capacity by 300 cases (and radios) per week by producing cases in the evening after the normal shift. Producing in the evening would not affect the sales price or quantity. Variable cost per unil would increase by $20 for those produced in the evening because of the shift differential (overtime pay) for labor. Fixed costs would also increase by $11,000 per week. B1. Calculate the differential operating profit (loss). b. The Borman Plant Manager tells mansgers at Ontario Audio that the Piant could increase capacity by 300 cases (and radios) per week by producing cases in the evening athor the normal shift. Producing in the evening would not affect the sales price or quantify. Variable cost per unit would increase by $20 for those produced in the evening because of the shif differential (overtime pay) for labor. Fixed costs would also increase by $11,000 per week b-1. Calculate the differential opereting profit (lass). b-2. Should Ontario Audio produce cases (and radios) in the evening? c. Independent of the situotion in requirement (b), Ontario Audio could add additional equipment and workers in the Borman Plant. which would increase its capacity by 300 cases (and radios) per week. This would not affect the sales price or variable cost per unit but would increbse fived costs by $21,000 per week. c-1. Calculate the differential operating profit (loss). c-2. Should the company add the additional equipment and workers to the Borman Plant? Complete this question by entering your answers in the tabs below. The Borman Pant Manager tells managers at Ontario Audio that the Plant could increase capacity by 300 cases (and radios) per week by producing cases in the evening after the normal shift. Producing in the evening would not affect the sales price or quantity. Variable cost per unit would increase by $20 for those produced in the evening because of the shift differential (overtime pay) for labor. Fixed costs would also increase by $11,000 per week. A2. Should Ontario Audio produce cases (and radios) in the evening? b. The Borman Plant Manager tels managers at Ontario Audio that the Plant could increase capacity by 300 cases (and radios) per week by producing cases in the evening aher the normal shift. Producing in the ovening would not affect the sales price or quantity. Variable cost per unit would incresse by $20 for those produced in the evening because of the shift differentiat (overtime pey) for labot. Fixed costs would also increase by $11,000 pet week. b-1. Colculste the differeritill opereting proflt foss). b-2. Should Ontarlo hudio produce cases (and radios) in the evening? c. Independent of the situetion in requirement (0). Ontarlo Audio could add additional equipment and workars in the Borman Plant, which would increase its capocity by 300 cases (and radios) per week. This would not affect the sales price or varlable cost per unit. but would increase fived costs by $21,000 per wheck. c-1. Calculate the differential operating profl (loss) c-2. Should the company nda the additiondel equipment and workers to the Boman Plant? Complete this question by entering your answers in the tabs below. Independent of the situation in requirement (b), Ontarlo Audio could add additional equipment and werkers in the Borman Pinnt, which would incresse its capacty by 300 cases (and rados) per week. Thls would not affect the sales price or variabie cost per unit but would increase fired costs by $21,000 per week. C1. Caiculate the differential operating proflt (loss). b. The Borman Plant Manager tells managers at Ontario Audio that the Plant could increase capacity by 300 cases (and radios) per week by producing cases in the evening after the normal shift. Producing in the evening would not affect the sales price or quantity Variable cost per unit would increase by $20 for those produced in the evening because of the shift differential (overtime pay) for labor. Fixed costs would also increase by $11,000 per week. b-1. Calculate the differential operating profit (loss). b-2. Should Ontario Audio produce cases (and radios) in the evening? c. Independent of the situation in requirement (b), Ontario Audio could add additional equipment and workers in the Borman Plant, which would increase its capacity by 300 cases (and radios) per week. This would not affect the sales price or variable cost per unit but would increase fixed costs by $21,000 per week. c-1. Calculate the differential operating profit (loss). c-2. Should the company add the additional equipment and workers to the Borman Plant? Complete this question by entering your answers in the tabs below. Independent of the situation in requirement (b), Ontario Audio could add additional equipment and workers in the Borman Plant, which would increase its capacity by 300 cases (and radios) per week. This would not affect the sales price or variable cost per unit but would increase fixed costs by $21,000 per week. C2. Should the company add the additional equipment and workers to the Borman Plant? Show less A Should the company add the additional equipment and workers to the Borman Plant? Ontario Audio makes a popular satelite radio receiver for over-the-road trucks and other professional uses. The two major parts of the radio are the electronics (recelver, speaket, and so on) and the metal case housing the radio. The electronics are manufactured at the Santa Rosa Plant, which send the resulting kits to the company's Borman Plant. The case is manufactured at the Borman Plant and the electronics kit and completed case are assembled, also at the Borman Plant. Weekly capacities and production levels are as follows: Ontario Audio does not sell electronic kits or cases separately. The company could sell as many as 1,350 radios per week. The radios (electronics kit assembled and enclosed in the case) sell for $125 per radio and have a variable cost of $62 each. Required: a. Is there a bottieneck at Ontario Radio in Santa Rosa Plant or Borman Plant? b. The Borman Plant Manager tells managers at Ontario Audio that the Plant could increase capacity by 300 cases (and radios) per week by producing cases in the evening after the normal shift. Producing in the evening would not affect the sales price or quantity. Variable cost per unit would increase by $20 for those produced in the evening because of the shift differential (overtime pay) for labor. Fxed costs would also increase by $11,000 per week. b-1. Calculate the differential operating profit (loss). b-2. Should Ontario Audio produce cases (and radios) in the evening? c. Independent of the situation in requirement (b). Ontario Audio could add additional equipment and workers in the Borman Plant, which would increase its capacity by 300 cases (and radios) per week. This would not affect the sales price or variable cost per unit but would increase fixed costs by $21,000 per week. c-1. Calculate the differential operating profit (loss). c-2. Should the company add the additional equipment and workers to the Borman Plant? Required: a. Is there a bottieneck at Ontario Radio in Santa Rosa Plant or Borman Plant? b. The Borman Plant Manager tells managers at Ontario Audio that the Plant could increase cappeity by 300 cases (and radios) per week by producing cases in the evening after the normal shift. Producing in the evening would hot affect the sales price or quantity. Variable cost per unit would increase by $20 for those produced in the evening because of the shift differential (overtime pay) for labor. Ficed costs would also increase by $11,000 per week, b-1. Calculate the differential operating profit (loss). b-2. Should Ontario Audio produce cases (and radios) in the evening? c. Independent of the situotion in requirement (b). Ontario Audio could add additional equipment and workers in the Borman Plant, which would increase its capacity by 300 cases (and radios) per week. This would not affect the sales price or variabie cost per unit but would increase fixed costs by $21,000 per week. c-1. Calculate the differential operating profit (loss). c-2. Should the company add the additional equipment and workers to the Borman Plant? Complete this question by entering your answers in the tabs below. Is there a bottieneck at Ontario Radio in Santa Rosa Plant or Borman Plant? b. The Borman Piant Manager tells managers at Ontario Audio that the Plant could increase capacity by 300 cases (and radios) per week by producing cases in the evening after the nocmal shift. Producing in the evening would not affect the sales price or quantity. Variable cost per unit would increase by $20 for those produced in the evening because of the shif differential (overtime payl for labot. Fixed costs would also increase by $11,000 per week b-1. Calculate the differential operating profit (loss) b-2. Should Ontario Audio produce cases (and radlos) in the evening? c. Independent of the situation in requirement (b). Ontario Audtio could add additional equipment and workers in the Borman Plant. which would increase its capecity by 300 cases (and radios) per week. This would not affect the sales price or variable cost per unit but would increese fixed costs by $21,000 per week. c-1, Calculate the differential operating profit (loss). c-2. Should the company add the additional equipment and workers to the Borman Plant? Complete this question by entering your answers in the tabs below. The Borman Plant Maneger tells managers at Ontario Audio that the Plant could increase capacity by 300 cases (and radios) per week by producing cases in the evening after the normal shift. Producing in the evening would not affect the sales price or quantity. Variable cost per unil would increase by $20 for those produced in the evening because of the shift differential (overtime pay) for labor. Fixed costs would also increase by $11,000 per week. B1. Calculate the differential operating profit (loss). b. The Borman Plant Manager tells mansgers at Ontario Audio that the Piant could increase capacity by 300 cases (and radios) per week by producing cases in the evening athor the normal shift. Producing in the evening would not affect the sales price or quantify. Variable cost per unit would increase by $20 for those produced in the evening because of the shif differential (overtime pay) for labor. Fixed costs would also increase by $11,000 per week b-1. Calculate the differential opereting profit (lass). b-2. Should Ontario Audio produce cases (and radios) in the evening? c. Independent of the situotion in requirement (b), Ontario Audio could add additional equipment and workers in the Borman Plant. which would increase its capacity by 300 cases (and radios) per week. This would not affect the sales price or variable cost per unit but would increbse fived costs by $21,000 per week. c-1. Calculate the differential operating profit (loss). c-2. Should the company add the additional equipment and workers to the Borman Plant? Complete this question by entering your answers in the tabs below. The Borman Pant Manager tells managers at Ontario Audio that the Plant could increase capacity by 300 cases (and radios) per week by producing cases in the evening after the normal shift. Producing in the evening would not affect the sales price or quantity. Variable cost per unit would increase by $20 for those produced in the evening because of the shift differential (overtime pay) for labor. Fixed costs would also increase by $11,000 per week. A2. Should Ontario Audio produce cases (and radios) in the evening? b. The Borman Plant Manager tels managers at Ontario Audio that the Plant could increase capacity by 300 cases (and radios) per week by producing cases in the evening aher the normal shift. Producing in the ovening would not affect the sales price or quantity. Variable cost per unit would incresse by $20 for those produced in the evening because of the shift differentiat (overtime pey) for labot. Fixed costs would also increase by $11,000 pet week. b-1. Colculste the differeritill opereting proflt foss). b-2. Should Ontarlo hudio produce cases (and radios) in the evening? c. Independent of the situetion in requirement (0). Ontarlo Audio could add additional equipment and workars in the Borman Plant, which would increase its capocity by 300 cases (and radios) per week. This would not affect the sales price or varlable cost per unit. but would increase fived costs by $21,000 per wheck. c-1. Calculate the differential operating profl (loss) c-2. Should the company nda the additiondel equipment and workers to the Boman Plant? Complete this question by entering your answers in the tabs below. Independent of the situation in requirement (b), Ontarlo Audio could add additional equipment and werkers in the Borman Pinnt, which would incresse its capacty by 300 cases (and rados) per week. Thls would not affect the sales price or variabie cost per unit but would increase fired costs by $21,000 per week. C1. Caiculate the differential operating proflt (loss). b. The Borman Plant Manager tells managers at Ontario Audio that the Plant could increase capacity by 300 cases (and radios) per week by producing cases in the evening after the normal shift. Producing in the evening would not affect the sales price or quantity Variable cost per unit would increase by $20 for those produced in the evening because of the shift differential (overtime pay) for labor. Fixed costs would also increase by $11,000 per week. b-1. Calculate the differential operating profit (loss). b-2. Should Ontario Audio produce cases (and radios) in the evening? c. Independent of the situation in requirement (b), Ontario Audio could add additional equipment and workers in the Borman Plant, which would increase its capacity by 300 cases (and radios) per week. This would not affect the sales price or variable cost per unit but would increase fixed costs by $21,000 per week. c-1. Calculate the differential operating profit (loss). c-2. Should the company add the additional equipment and workers to the Borman Plant? Complete this question by entering your answers in the tabs below. Independent of the situation in requirement (b), Ontario Audio could add additional equipment and workers in the Borman Plant, which would increase its capacity by 300 cases (and radios) per week. This would not affect the sales price or variable cost per unit but would increase fixed costs by $21,000 per week. C2. Should the company add the additional equipment and workers to the Borman Plant? Show less A Should the company add the additional equipment and workers to the Borman Plant