Assume that fixed costs total to P35,000, compute for the operating income of the company if it is able to maximize its resources. Multiple Company makes three products in a single facility. Data concerning these products follow:ProductABCSelling price per unitP75.90P71.10P73.40Direct materialsP29.70P30.20P33.40Direct laborP21.20P19.80P19.60Variable manufacturing overheadP4.90P5.60P7.60Variable selling cost per unitMixing minutes per unitP1.30Р3.90P1.802.101.701.30Monthly demand in unitsThe mixing machines are potentially the constraint in the production facility. A total of 12,500minutes are available per month on these machines.4,0001,0002,000

In the given question, Machine time is limited and thus machine time is the limiting factor. The…

Multiple Company makes three products in a single facility. Data concerning these products follov Product A B Selling price per unit Direct materials P75.90 P71.10 P73.40 P29.70 P30.20 Р33.40 Direct labor P21.20 P19.80 P19.60 Variable manufacturing overhead Variable selling cost per unit Mixing minutes per unit Monthly demand in units The mixing machines are potentially the constraint in the production facility. A total of 12,500 minutes are available per month on these machines. P4.90 P5.60 P7.60 P1.30 P3.90 P1.80 2.10 1.70 1.30 4,000 1,000 2,000

Multiple Company makes three products in a single facility. Data concerning these products follov Product A B Selling price per unit Direct materials P75.90 P71.10 P73.40 P29.70 P30.20 Р33.40 Direct labor P21.20 P19.80 P19.60 Variable manufacturing overhead Variable selling cost per unit Mixing minutes per unit Monthly demand in units The mixing machines are potentially the constraint in the production facility. A total of 12,500 minutes are available per month on these machines. P4.90 P5.60 P7.60 P1.30 P3.90 P1.80 2.10 1.70 1.30 4,000 1,000 2,000

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 19MC: A company sells two products, Model 101 and Model 202. For every one unit of Model 101, they sell...

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