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XAE-2 company is reviewing the behavior of its various activities. XAD is considering various costs. The company manufactures two models of computers. The laptop computer

XAE-2 company is reviewing the behavior of its various activities. XAD is considering various costs. The company manufactures two models of computers. The laptop computer (model MX10) is a top of the line, deluxe model. The tower computer (model DX 20) is the regular model.

The following activity data is provided:

Activity Usage Measures

Model MX10

Model DX20

Total

Units produced annually

15,000

40,000

55,000

Prime costs

$40,000

$100,000

$140,000

Machine hours

40,000

60,000

100,000

Production runs

14

6

20

Direct labor hours

20,000

30,000

50,000

The company primarily has three major activities as follows in the production process:

Activity

Activity Cost

Setups

$50,000

Inspections

$30,000

Power

$15,000

Calculate the unit cost of model DX 20.

Select one:

a. $3.55

b. $2.50

c. some other figure not listed here

d. $3.33

e. $4.05

Woxy company is considering its forthcoming projections for cash budget purposes. Woxy's forecasts the following sales figures for the next four months.

April

May

June

July

$250,000

$150,000

$225,000

$150,000

Cash sales average 10% of total sales and credit sales are collected 50% in the month of sale and 50% in the month following sale. What are the estimated cash collections in May?

Select one:

a.

$195,000

b.$ 82,500

c.

$150,000

d.$215,000

e.

$207,500

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