Kunst 1600 Case

($372 + $135 + 500) / ($2.21 - ($0.83 + .40)) = 1,028 [+/- 31]

11. Prepare a table that illustrates the percentage change in costs between the volume-based system and the strategic activity-based system.

Relevant Costs, Insurance, Fuel, Oil Lubricants, Tolls, Parts and Small Tools, Hourly wages: Drivers, Trailer Pool Expense

When the average person's car needs an oil change we drive to a Quick Lube and have it done in 20 minutes. Another alternative would be to change the oil your self, this is a fairly simple process, most people with some common sense and some basic hand tools can do it at home on a weekend.

12. If 12,500 units are produced, what is the total amount of manufacturing overhead cost incurred to support this level of production? What is the total amount expressed on a per unit basis?

B. One should change their oil every three months or every 3000 miles to prevent buildup of corrosive byproducts of combustion which could erode metal parts and accumulation of dirt in the oil from debris caused by blow-by

Oil lubricates the moving parts that are within the engine. It also absorbs heat so that the engine doesn’t overheat. Your oil needs to be changed every 3,000 to 5,000 miles. If you would rather change it yourself instead of taking it in somewhere to be done, follow these steps.

Total cost = (F * T/Q) + (H * Q / 2) = (80 * 200,000 / 10,000) + (1.00 * 10,000/2)

Calculate how much each system will cost per year and determine which of the quotes is most cost-effective.

Another way to look at the relevant cost savings is by looking at the savings incurred as a result of

Unit contribution = Unit Price – Unit Variable Cost = $1.80 – $1.40 = $0.40

Springfield Express has an opportunity to obtain a new route that would be traveled 20 times per month. The company believes it can sell seats at $ 175 on the route, but the load factor would be only 60 percent. Fixed cost would increase by $ 250,000 per month for additional personnel, additional passenger train cars, maintenance, and so on. Variable cost per passenger would remain at $ 70.

7) NCC is considering the purchase of two new dryers(each costs $10000, the cost includes installation cost) and conversion of up to 10 dry berry holding bins (each costs $2000, that includes labor and material cost) so that they can hold water-harvested or dry berries. What are your recommendations? Assume that drivers are paid $12 per hour.

The Kenton Company processes unprocessed milk to produce two products, Butter Cream and Condensed Milk. The following information was collected for the month of June:

11. Prepare a table that illustrates the percentage change in costs between the volume-based system and the strategic activity-based system.