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question d TOUU 6,000 2,000 ard 22 21 Kilowatt hours lipboard Th 23 Answer Section 5,000 24 25 26 Setup 27 Ordering 28 Machine Costs

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TOUU 6,000 2,000 ard 22 21 Kilowatt hours lipboard Th 23 Answer Section 5,000 24 25 26 Setup 27 Ordering 28 Machine Costs 29 Power Pool Rates $400.00 per setup $10.00 per order $1.00 per machine hour $0.05 per kilowatt hour S4 Product Costs Bubble $1,300 900 Burst $1,525 900 33 34 Direct materials 35 Direct labor 36 Overhead 37 Setups 38 Ordering 39 Machine costs 40 Power 41 Total cost 2,400 600 1,500 4,000 1,200 2,000 250 $9,875 300 $7,000 $8.75 $19.75 43 Unit cost 44 Eted - Anal MT BTUL -12-AA OA - E EE - 13 EESEEDS General Paste imet 47 O Conditional Format Formatting Table Cell Styles Delete Format Clipboard Font Alignment 2 Sart Find & Filter Select- Editing Cell E24 G A B C D EF 1 Bumblebees Mobiles is trying to reduce its unit cost Management believes that the two easiest areas to save costs are 2 setups and power. Determine the new cost information for each of the following independent situations. Remember to 3 reset your data to the original information after answering each item 4 5 a) What are the new unit costs of each product if annual setup costs are reduced by 25%? (Change cell B8 on ABC worksheet) 6 7 Bubble 1800 3 Burst 3000 0 b) What is the new unit cost of each product if the number of setup can be reduced by 50%? (Change cells B18 & C18 on ABC worksheet.) Bubble 3 Burst Burst 1200 2000 2000 c) What is the new unit cost of each product if annual power costs are reduced by 70%? (Change cell B11 on ABC worksheet.) Bubble Burst ch product? Why? d) Which one of the cost saving ideas would create the lowest cost for each product? Why? 5 Data Section Amount 60 Expected Cost $24,000 9,000 36,000 5,000 Cost Driver Number of setups Number of orders Machine hours Kilowatt hours 900 36,000 100,000 Overhead Item 8 Setup costs 9 Ordering costs 10 Machine costs 11 Power 12 13 14 15 Direct materials 16 Direct labor 17 Units completed 18 Number of setups 19 Number of orders 20 Machine hours 21 Kilowatt hours 22 23 Answer Section 24 Bubble Burst $1,300 $1,525 $900 $900 800500 10 60 120 1,500 2,000 6,000 5,000 25 Pool Rates $400.00 per setup $10.00 per order $1.00 per machine hour $0.05 per kilowatt hour 26 Setup 27 Ordering 28 Machine Costs 29 Power 30 31 32 33 34 Direct materials 35 Direct labor 36 Overhead 37 Setups Product Costs Bubble $1,300 900 Burst $1,525 900 2,400 con 4,000 1200 5 Data Section Amount 60 Expected Cost $24,000 9,000 36,000 5,000 Cost Driver Number of setups Number of orders Machine hours Kilowatt hours 900 36,000 100,000 Overhead Item 8 Setup costs 9 Ordering costs 10 Machine costs 11 Power 12 13 14 15 Direct materials 16 Direct labor 17 Units completed 18 Number of setups 19 Number of orders 20 Machine hours 21 Kilowatt hours 22 23 Answer Section 24 Bubble Burst $1,300 $1,525 $900 $900 800500 10 60 120 1,500 2,000 6,000 5,000 25 Pool Rates $400.00 per setup $10.00 per order $1.00 per machine hour $0.05 per kilowatt hour 26 Setup 27 Ordering 28 Machine Costs 29 Power 30 31 32 33 34 Direct materials 35 Direct labor 36 Overhead 37 Setups Product Costs Bubble $1,300 900 Burst $1,525 900 2,400 con 4,000 1200 TOUU 6,000 2,000 ard 22 21 Kilowatt hours lipboard Th 23 Answer Section 5,000 24 25 26 Setup 27 Ordering 28 Machine Costs 29 Power Pool Rates $400.00 per setup $10.00 per order $1.00 per machine hour $0.05 per kilowatt hour S4 Product Costs Bubble $1,300 900 Burst $1,525 900 33 34 Direct materials 35 Direct labor 36 Overhead 37 Setups 38 Ordering 39 Machine costs 40 Power 41 Total cost 2,400 600 1,500 4,000 1,200 2,000 250 $9,875 300 $7,000 $8.75 $19.75 43 Unit cost 44 Eted - Anal MT BTUL -12-AA OA - E EE - 13 EESEEDS General Paste imet 47 O Conditional Format Formatting Table Cell Styles Delete Format Clipboard Font Alignment 2 Sart Find & Filter Select- Editing Cell E24 G A B C D EF 1 Bumblebees Mobiles is trying to reduce its unit cost Management believes that the two easiest areas to save costs are 2 setups and power. Determine the new cost information for each of the following independent situations. Remember to 3 reset your data to the original information after answering each item 4 5 a) What are the new unit costs of each product if annual setup costs are reduced by 25%? (Change cell B8 on ABC worksheet) 6 7 Bubble 1800 3 Burst 3000 0 b) What is the new unit cost of each product if the number of setup can be reduced by 50%? (Change cells B18 & C18 on ABC worksheet.) Bubble 3 Burst Burst 1200 2000 2000 c) What is the new unit cost of each product if annual power costs are reduced by 70%? (Change cell B11 on ABC worksheet.) Bubble Burst ch product? Why? d) Which one of the cost saving ideas would create the lowest cost for each product? Why

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