= Open with Google Docse. None of the above8. Cebrero Company makes 6,000 bottles of avocado shake every day. Each bottle size up to 50 gramsand contains 50% content mixture of avocados. How many kilos of avocado does the company needsevery day to suffice the production?a. 120kgb. 125kgC. 140kgd. 150kge. None of the aboveConsumer Products Corporation has a choice of three investments of a third-party supplier- A,B, & C. the following table gives the cost of each investment as well as the cash flows for each investment.InvestmentB.Cost$10,000$12,000$15,000Income10,0005,0003,0003,0003,0006,0006,0006,0004,0002.3,0006,0001,0007,00034.6,0006,000Which investment is the most engaging, if the cost of money is 9%?

Number of bottles made every day = 6000 Size of each bottle = 50 grams Each bottle contains 50%…

8. Cebrero Company makes 6,000 bottles of avocado shake every day. Each bottle size up to 50 grams and contains 50% content mixture of avocados. How many kilos of avocado does the company needs every day to suffice the production? а. 120kg b. 125kg с. 140kg d. 150kg e. None of the above

8. Cebrero Company makes 6,000 bottles of avocado shake every day. Each bottle size up to 50 grams and contains 50% content mixture of avocados. How many kilos of avocado does the company needs every day to suffice the production? а. 120kg b. 125kg с. 140kg d. 150kg e. None of the above

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter10: Short-term Decision Making

Section: Chapter Questions

Problem 6MC: Jansen Crafters has the capacity to produce 50,000 oak shelves per year and is currently selling...

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Jansen Crafters has the capacity to produce 50,000 oak shelves per year and is currently selling 44,000 shelves for $32 each. Cutrate Furniture approached Jansen about buying 1,200 shelves for bookcases it is building and is willing to pay $26 for each shelf. No packaging will be required for the bulk order. Jansen usually packages shelves for Home Depot at a price of $1.50 per shell. The $1.50 per-shelf cost is included in the unit variable cost of $27, with annual fixed costs of $320.000. However, the $130 packaging cost will not apply in this case. The fixed costs will be unaffected by the special order and the company has the capacity to accept the order. Based on this information, what would be the profit if Jansen accepts the special order? A. Profits will decrease by $1,200. B. Profits will increase by $31,200. C. Profits will increase by $600. D. Profits will increase by $7,200.
Kaune Food Products Company manufactures canned mixed nuts with an average manufacturing cost of 52 per case (a case contains 24 cans of nuts). Kaune sold 150,000 cases last year to the following three classes of customer: The supermarkets require special labeling on each can costing 0.04 per can. They order through electronic data interchange (EDI), which costs Kaune about 61,000 annually in operating expenses and depreciation. Kaune delivers the nuts to the stores and stocks them on the shelves. This distribution costs 45,000 per year. The small grocers order in smaller lots that require special picking and packing in the factory; the special handling adds 25 to the cost of each case sold. Sales commissions to the independent jobbers who sell Kaune products to the grocers average 8 percent of sales. Bad debts expense amounts to 9 percent of sales. Convenience stores also require special handling that costs 30 per case. In addition, Kaune is required to co-pay advertising costs with the convenience stores at a cost of 15,000 per year. Frequent stops are made to each convenience store by Kaune delivery trucks at a cost of 30,000 per year. Required: 1. Calculate the total cost per case for each of the three customer classes. (Round unit costs to four significant digits.) 2. Using the costs from Requirement 1, calculate the profit per case per customer class. Does the cost analysis support the charging of different prices? Why or why not? 3. What if Kaune charged the average price per case to all customer classes? How would that affect the profit percentages?
Sheridan Company wants to produce and sell a new flavored water. In order to penetrate the market, the product will have to sell at $2 per 12 oz. bottle. The following data has been collected: Annual sales 50000 bottles Projected selling and administrative costs $8500 Desired profit $62000 The target cost per bottle is $0.59. $0.24. $0.17. $0.76.
Vaughn Manufacturing wants to produce and sell a new flavored water. In order to penetrate the market, the product will have to sell at $2 per 12 oz. bottle. The following data has been collected: Annual sales 50000 bottles Projected selling and administrative costs $7600 Desired profit $80000 The target cost per bottle is $0.60. $0.15. $0.25. $0.40.
Gooby Gummies makes taffy candy, which it sells at local supermarkets. The fixed monthly cost to produce the candy is $4,000. The main ingredient for the candy, glucose syrup costs $0.21 per pound. Gooby Gummies sells the taffy for $0.75 per pound to supermarkets. The management of Gooby Gummies is thinking of raising the price of the taffy candy to $0.95 per pound. Currently, the company produces and sells 9,000 pounds of taffy candy a month. The management realizes that if they raise the price, the sales will go down to 5,700 pounds per month. By how much will the company's profit per year be affected if Gooby Gummies' management decide to raise the price? Should the company raise its price? Explain your answer.
Gooby Gummies makes taffy candy, which it sells at local supermarkets. The fixed monthly cost to produce the candy is $4,000. The main ingredient for the candy, glucose syrup costs $0.21 per pound. Gooby Gummies sells the taffy for $0.75 per pound to supermarkets.The management of Gooby Gummies is thinking of raising the price of the taffy candy to $0.95 per pound. Currently, the company produces and sells 9,000 pounds of taffy candy a month. The management realizes that if they raise the price, the sales will go down to 5,700 pounds per month. By how much will the company's profit per year be affected if Gooby Gummies' management decide to raise the price? Should the company raise its price? Explain your answer.
. Powered by Koffee (PBK) is a new campus coffee store. PBK uses 50 bags of whole bean coffee every month, and demand is steady throughout the year. PBK has signeda contract to purchase its coffee from a local supplier, Phish Roasters, for a price of $25 per bag and an $85 fixed cost for every delivery independent of the order size. PBK incurs an inventory holding cost of 24% per year. a. If PBK orders 125 bags at a time, how many orders will it place per year?b. What is PBK’s annual inventory holding cost per bag? c. If PBK orders 200 bags at a time, what is its inventory holding cost per year? d. What order quantity minimizes PBK’s ordering and holding costs per year?If PBK chooses an order quantity to minimize ordering and holding costs, what is its ordering and holding costs per year expressed as a percentage of its annual purchase cost? A South American import/export company has offered PBK a deal. PBK can buy a year’s worth of coffee directly from South America for $20 per bag…
A microbrewery purchases malt for production. The supplier charges $35 for delivery (no matter how much is delivered) and $1.20 per gallon. The annual holding cost is 35% of the price per gallon. Usage is 250 gallons/week. a) If the order quantity is 1000 gallons, what is the average inventory? b) If the order quantity is 1500 gallons, how many orders are placed each year? c) What is the EOQ quantity? d) If the order quantity is 2500 gallons, what is the sum of the ordering and holding costs PER GALLON? e) If orders are for the EOQ amount, what is the annual cost of the inventory system as a percentage of the annual purchase cost? f)If orders must be in integer multiples of 1000 gallons, how much should be ordered to minimize ordering and holding costs PER GALLON? g) A 3% purchase price discount is given if orders are for 8000 gallons or more. What would total annual costs (purchasing, ordering, and holding) be using this discount?
YS Company has a secret ingredient in its production. This ingredient costs the company P60 each from the supplier and requires a 6-day lead time. The demand every quarter is 13,680 units. The ordering cost is P12.50 per order. (EOQ is 1,200 units).The desired safety stock if the maximum daily usage is 175 units is?
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Bulldogs Inc. expects to use 48,000 boxes of chocolate per year costing P12 per box. Inventory carrying cost is equal to 20% of the purchase price. The company uses its inventory at a constant rate. The lead time for placing the order is 3 days, and Bulldogs Co. holds 2,400 boxes of paint as safety stock. If the company orders 2,000 boxes of chocolate per order, what is the cost of carrying inventory? P2,400 P5,280 P8,160 P5,760
Mishal LLC is a new startup in the retail manufacturing business of fruit juices. Their requirement for such business includes fruit pulp, preservatives, natural color and sugar. Annual requirement for fruit pulp is 1000 kg and for preservatives is 20 kg. Semi-annual requirement for natural color is 10 kg and monthly requirement of sugar is 50 kg. Carrying cost for all items is 8%. Buying cost per order for fruit pulp, preservatives, natural color and sugar is RO 10, RO 5, RO 3 and RO 1 respectively. Per unit cost for fruit pulp, preservatives, natural color and sugar is RO 1, RO 1.5, RO 1.2 and RO 0.2 respectively. For preservative, the Seller offers to give 10 % discount on unit price if quantity ordered is 50. What will be the ordering cost if seller option is considered a. 1 b. 5 c. 8 d. 2 What is the cost on material for preservative a. 6.8989 b. 40 c. 10.444 d. 4.8989 For natural color, the Seller offers to give 100 baisa discount on unit price if quantity ordered is 40. What…