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ube wx Cheap Affordable Cl... Maps Costway - E Georgia Tax Center D2L Assignments W Assignment Required Information EX 14-37 (Algo) Special Order (LO
ube wx Cheap Affordable Cl... Maps Costway - E Georgia Tax Center D2L Assignments W Assignment Required Information EX 14-37 (Algo) Special Order (LO 14-4, 14-5) [The following Information applies to the questions displayed below.) Intercontinental's special order requires 1,800 kilograms of genatope, a solid chemical regularly used in the company's products. The current stock of genatope Is 9.700 kilograms at a book value of 9.50 p per kilogram. If the special order is accepted, the firm will be forced to restock genatope earlier than expected, at a predicted cost of 10.10 p per kilogram. Without the special order, the purchasing manager predicts that the price will be 9.70 p when normal restocking takes place. Any order of genatope must be in the amount of 6,800 kilograms. EX 14-37 (Algo) Part 1: What is the relevant cost of genatope? Required: 1. What is the relevant cost of genatope? Note: Enter your answer in pesos. Total relevant cost Required Information PR 14-46 (Algo) Introducing a New Product (LO 14-4, 14-5) [The following information applies to the questions displayed below] Johnson and Gomez, Incorporated, is a small firm Involved in the production and sale of electronic business products. The company is well known for its attention to quality and Innovation. During the past 15 months, a new product has been under development that allows users improved access to e-mall and video Images. Johnson and Gomez code named the product the Wireless Wizard and has been quietly designing two models: Basic and Enhanced. Development costs have amounted to $193,500 and $274,500, respectively. The total market demand for each model is expected to be 48,000 units, and management anticipates being able to obtain the following market shares: Basic, 25 percent; Enhanced, 20 percent. Forecasted data follow. Basic Enhanced Projected selling price Per-unit production costs: $ 385.00 $ 485.00 Direct material 50.00 79.50 Direct labor 26.50 38.00 Variable overhead 44.00 56.00 Marketing and advertising (fixed but avoidable) Sales commissions* 203,000 340,000 16X 16% *Computed on the basis of sales dollars. Since the start of development work on the Wireless Wizard, advances in technology have altered the market somewhat, and management now belleves that the company can Introduce only one of the two models. Consultants confirmed this fact not too long ago, with Johnson and Gomez paying $35.300 for an in-depth market study. Sales salaries (excluding commission) will be $89,500 no matter which product is sold. The marketing and advertising costs indicated for each product are incurred only If that product is sold. Other fixed overhead is expected to be the same, regardless of which product is Introduced. PR 14-46 (Algo) Part 3: Prepare a financial analysis and determine which of the two models should be Introduced. 3-a. Prepare a financial analysis and determine which of the two models should be introduced. 3-b. The company would be advised to select the Enhanced model or Basic model. Complete this question by entering your answers in the tabs below. Reg 3A Req 38 Prepare a financial analysis and determine which of the two models should be introduced. Note: Round intermediate calculations to 2 decimal places. Total contribution margin Less Marketing and advertising Income Basic *FeaT Enhanced 0 $ D Req 3B > EX 14-40 (Algo) Joint Products; Relevant Costs; Cost-Volume-Profit Analysis (LO 14-4, 14-6) Zytel Corporation produces cleaning compounds and solutions for Industrial and household use. While most of its products are processed independently, a few are related. Grit 337, a coarse cleaning powder with many Industrial uses, costs $2.80 a pound to make and sells for $4.00 a pound. A small portion of the annual production of this product is retained for further processing in the Mixing Department, where it is combined with several other ingredients to form a paste, which is marketed as a silver polish selling for $5.90 per jar. This further processing requires 1/4 pound of Grit 337 per jar. Costs of other ingredients, labor, and variable overhead associated with this further processing amount to $2.30 per jar Variable selling costs are $0.30 per jar. If the decision were made to cease production of the silver polish, $8,400 of Moxing Department fixed costs could be avoided. Zytel has limited production capacity for Grit 337, but unlimited demand for the cleaning powder Required: Calculate the minimum number of jars of silver polish that would have to be sold to justify further processing of Grit 337. Note: Round your Intermediate calculations to 2 decimal places and final answer to the nearest whole number. Musimum number of jars Of have to search
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