The revenue retrieval for PG Glass design is $ ?The revenue retrieval for Glass Unlimited design is $ ?The best design alternative is ? Mercedes is assessing which of windshield suppliers provides a better environmental design for disassembly. Using the table below, select between PG Glass and Glass Unlimited.PG GlassPartGlassSteal frameRubber insulationGlass UnlimitedPartReflective glassAluminum frameRubber insulationResale Revenue Recycling Revenue Processing Cost Disposal Costper Unitper Unitper Unitper Unit$1112Resale Revenueper Unit$1441$911$7$132322Recycling Revenue Processing Costper Unitper Unit$6NW$122Disposal Costper Unit$211

Revenue retrieval or recovery refers to the process of recovering lost or uncollected revenue. This…

Part Glass Steal frame Rubber insulation Glass Unlimited Part Reflective glass Aluminum frame Resale Revenue per Unit $11 1 2 Resale Revenue per Unit $14 Recycling Revenue Processing Cost per Unit per Unit $9 1 1 Recycling Revenue per Unit $13 $7 2 2 Processing Cost per Unit $6 3 Disposal Cost per Unit $1 2 2 Disposal Cost per Unit $2

Part Glass Steal frame Rubber insulation Glass Unlimited Part Reflective glass Aluminum frame Resale Revenue per Unit $11 1 2 Resale Revenue per Unit $14 Recycling Revenue Processing Cost per Unit per Unit $9 1 1 Recycling Revenue per Unit $13 $7 2 2 Processing Cost per Unit $6 3 Disposal Cost per Unit $1 2 2 Disposal Cost per Unit $2

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter14: Quality And Environmental Cost Management

Section: Chapter Questions

Problem 23E: Coyle Pharmaceuticals produces two organic chemicals (Org AB and Org XY) used in the production of...

See similar textbooks

Similar questions

Mercedes is assessing which of two windshield suppliersprovides a better environmental design for disassembly. Usingthe tables below, select between PG Glass and Glass Unlimited.
Identification. Pocket Umbrella, Inc., is considering producing a new type of umbrella. This newpocket-sized umbrella would fit into a coat pocket or purse. Classify the following costs of thisnew product as direct materials, direct labor, manufacturing overhead, selling expense, oradministrative expense.6. The salary of the supervisor of the people who assembled the product7. Wages of the product tester who stands in a shower to make sure the umbrellas do not leak8. Cost of market research survey9. Salary of the company’s sales managers10. Depreciation of administrative office buildingB. Essay. Answer below questions as required.1. Identify the three elements of cost incurred in manufacturing a product and indicate thedistinguishing characteristics of each. 2. What is the general content of a statement of cost of goods manufactured? 3. What is the relationship of the cost of goods manufactured to the income statement? 4. How did you cope up with your studies in this “new normal”…
Blackburn Inc. uses Otavalo Manufacturing and Piura Company to buy two precision machined parts used in the manufacture of its permanent-magnet motors: Part #625 and Part #827. Consider two activities: testing parts and reordering parts. After the two parts are inserted, testing is done to ensure that the two parts work as intended. Reordering occurs because one or both of the parts have failed the test and it is necessary to replenish part inventories. Activity cost information and other data needed for supplier costing are as follows: I. Activity Costs Caused by Suppliers (testing failures and reordering as a result) Activity Costs Testing parts $4,500,000 Reordering parts 1,125,000 II. Supplier Data Otavalo Manufacturing Piura Company Part #625 Part #827 Part #625 Part #827 Unit purchase price $30 $78 $36 $84 Units purchased 450,000 225,000 56,250 56,250 Failed tests 4,500…
Pocket Umbrella, Inc. is considering producing a new type of umbrella. This new pocket-sized umbrella would fit into a coat pocket or purse. Classify the following costs of this new product as direct materials, direct labor, manufacturing overhead, or selling and administrative. Cost of advertising the product Fabric used to make the umbrellas Maintenance of cutting machines used to cut the umbrella fabric so it will fit the umbrella frame Wages of workers who assemble the product Presidents salary The salary of the supervisor of the people who assemble the product Wages of the product tester who stands in a shower to make sure the umbrellas do not leak Cost of market research survey Salary of the companys sales managers Depreciation of administrative office building
Rachel Boyce, president of a company that manufactures electronic components, has a number of questions concerning quality and quality costs. She has heard a few things about quality and has asked you to respond to the following questions. Required: 1. What does it mean to have a quality product or service? Explain how product quality and conformance are related. 2. Yesterday, my quality manager told me that we need to redefine what we mean by a defective product. He said that conforming to specifications ignores the cost of product variability and that further reduction of product variability is a veritable gold minejust waiting to be mined. What did he mean?
Classify the following quality costs as prevention costs, appraisal costs, internal failure costs, orexternal failure costs:1. Inspection of reworked units2. Inspecting and testing a newly developed product (not yet being sold)3. Retesting a reworked product4. Repairing a computer still under warranty5. Discount allowed to customers because products failed to meet customer specifications6. Goods returned because they failed to meet specifications7. The cost of evaluating and certifying suppliers8. Stopping work to correct process malfunction (discovered using statistical process controlprocedures)9. Testing products in the field10. Discarding products that cannot be reworked11. Lost sales because of recalled products12. Inspection of incoming materials13. Redesigning a product to eliminate the need to use an outside component with a highdefect rate14. Purchase order changes 15. Replacing a defective product16. Inspecting and testing prototypes17. Repairing products in the field18.…
Looking for the break-even point from the information provided. The Smiths need to develop an analysis of their breakeven point for the plastic display case based on sales of the product directly to the consumer as well as through retailers. If the product were sold to retailers, the price would have to provide retailers with an adequate markup. Exhibit C7.4 presents the expected cost structure for the Unique Display Cases display case developed by their accountant. Based on competitive prices, the Smiths expected to offer their product in direct to consumer sales for $24.99 plus $2.99 for shipping and handling. The price to retailers would have to be negotiated but would be 30–40% less to allow an adequate markup for the retail firms. The production cost of $7.50 was based on a production run of 5000 units in one color. At 10,000 or more units, production cost would drop to $5.75 per unit. The company that would produce the plastic unit had production capacity of 25,000 units a year.…
XYZ's Preserves currently makes jams and jellies and a variety of decorative jars used for packaging. An outside supplier has offered to supply all of the needed decorative jars for P2.00. For this make-or-buy decision, a cost analysis revealed the following avoidable unit costs for the decorative jars: Direct materials 1.06 Direct labor 0.08 Unit-related support costs 0.25 Batch-related support costs 0.24 Product-sustaining support costs 0.44 Facility-sustaining support costs 0.50 Total cost per jar 2.57 1. The net advantage (disadvantage) of accepting the supplier’s offer is? 2. The maximum price that XYZ's Preserves should be willing to pay for the decorative jars is?
) Olson Corporation, a retailer and wholesaler of national brand-name household lighting fixtures, purchases its inventories from various suppliers. Instructions a. 1. What criteria should be used to determine which of Olson’s costs are inventoriable? 2. Are Olson’s administrative costs inventoriable? Defend your answer. b. 1. Olson uses LIFO and the lower-of-cost-or-market rule for its wholesale inventories. What are the theoretical arguments for that rule? 2. The replacement cost of the inventories is below the net realizable value less a normal profit margin, which, in turn, is below the original cost. What amount should be used to value the inventories? Why? c. Assume instead that Olson calculates the estimated cost of its ending inventories held for sale at retail using the conventional retail inventory method. How would Olson treat the beginning inventories and net markdowns in calculating the cost ratio used to determine its ending inventories? Why?
Classifying quality costs and using these costs to make decisions Loiselle manufactures high-quality speakers. Suppose Loiselle is considering spending the following amounts on a new quality program: It also expects this program to avoid lost profits from the following: Requirements Classify each of these costs into one of the four categories of quality costs (prevention, appraisal, internal failure, or external failure). Should Loiselle implement the quality program? Give your reasons.
Recently, Mewah Designs expanded its market by becoming an original equipment supplier toJee Wrangler. Mewah Designs produces factory upgraded speakers specifically for JeeWrangler. The Kicker components and speaker cabinets are outsourced with assemblyremaining in-house. Mewah Designs assemble the product by placing the speakers and othercomponents in cabinets that define an audio package upgrade and that can be placed into theJee Wrangler, producing the desired factory-installed appearance. Speaker cabinets andassociated Kicker components are added at the beginning of the assembly process.Assume that Mewah Designs uses the weighted-average method to cost out the audio package.The following are cost and production data for the assembly process for April: Production:Units in process, April 1, 60% complete 60,000Units completed and transferred out 150,000Units in process, April 30, 20% complete 30,000Costs:WIP, April 1:Cabinets RM 1,200,000Kicker components RM 12,600,000Conversion costs…
The Jabba Corporation manufactures the "Snack Buster" which consists of a wooden snack chip bowl with an attached porcelain dip bowl. Which of the following would be relevant in Jabba's decision to make the dip bowls or buy them from an outside supplier? Fixed overhead cost that can be eliminated if the bowls are purchased from the outside supplier The variable selling cost of the Snack Buster A) Yes Yes B) Yes No C) No Yes D) No No Multiple Choice Choice A Choice B Choice C Choice D