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this is accounting managerial accounting i want solution in word 2. prove youre decision to be correct Bissan manufactures different types of air conditioners, as
this is accounting managerial accounting i want solution in word
2. prove youre decision to be correct
Bissan manufactures different types of air conditioners, as it needs a type of filters in all its products, as the company produces 10,000 air conditioners and sells the entire quantity produced at $ 500 per unit, and each air conditioner needs one filter. The company has two options, which are to manufacture the filters internally or buy them from a supplier at a price of $ 32 per unit, noting that if they are manufactured internally, the required quantity will be produced with 50 batches, but if purchased from abroad, production will be done in 25 batches and you have the following information: tion: Unit cost on 25batches Statement Unit cost on 50 batches IF I 16 16 2 8 Direct materials Direct wages 2 8 4 3.5 Industrial variable incremental costs The mbxed industrial incremental costs The fixed industrial incremental costs Total unit cost 6 36 35.5 The following costs relate to making one air conditioner before adding the filter the cost Statement 200 Direct materials 80 70 Direct wages Additional industrial costs Required I I 1.As a management accountant in Bisan, and asked you to take the appropriate decision in this regard, what is your decision, explaining this with the solutionStep by Step Solution
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