Required: Based upon market research, Outland's CEO believes the company can sell a total 40,000 batches of cookies. The company's flour supplier, however, will only be able to provide 50,000 pounds of flour. How many batches of each type of cookie should the company bake? Compute the company's TOTAL contribution margin?
Q: Assume that HASF furniture Inc., as described, currently purchases the chair cushions for its lawn…
A: The companies make their make or buy decisions based on comparative analysis of total costs incurred…
Q: Java Source, Inc., (JSI) buys coffee beans from around the world and roasts, blends, and packages…
A: As you have posted multiple independent questions, we are answering the first question. Kindly…
Q: The Kenosha Company has three product lines of beer mugs—A, B, and C—with contribution margins of…
A: Cost-volume profit analysis is a tool that helps in decision making by establishing a relationship…
Q: can you help me
A: Targeted operating income refers to the profit of a company that is expected to be obtained by the…
Q: Dream Enterprise wants to know how much it costs to make (1) unit of their product and how much it…
A: Break Even Point: It is the situation where there is no profit and loss for the company; Total…
Q: Phillips Corporation is a major manufacturer of food processors. It purchases motors from Viking…
A: Economic Order Quantity (EOQ): Economic order quantity is the quantity of order that is purchased…
Q: Walters manufactures a specialty food product that can currently be sold for $22.80 per unit and has…
A: Formula: Incremental income of processing further = Revenue after further processing - Revenue…
Q: Premo Pens, Inc., is in the process of developing a newpen to replace its existing top-of-the-line…
A: Target cost: In a competitive market, companies cannot set prices because the supply and demand…
Q: General Mills makes Nature Valley granola bars, Cheerios cereal, Yoplait yogurt, Haagen-Dazs ice…
A: Cost Volume profit analysis is used to determine how the profits of the company are affected if we…
Q: Delectable Foods produces a gourmet condiment that sells for $24 per unit. Variable cost is $6 per…
A: Formula: Contribution margin = sales price - variable cost Deduction of variable cost from selling…
Q: Miller Cereals is a small milling company that makes a single brand of cereal. Recently, a business…
A: As the file was found corroupted, all the figures will be reclaculated basis the % difference…
Q: After conducting a market research study, Magnificent Manufacturing decided to produce a new…
A: After conducting a market research study, Magnificent Manufacturing decided to produce a new…
Q: Winnebagel Corp. currently sells 29,200 motor homes per year at $79,000 each and 8,200 luxury motor…
A: Annual sales figure when evaluating this project = Sales revenue from new portable campers +…
Q: Pietro Frozen Foods, Inc., produces frozen pizzas. For next year, Pietropredicts that 50,000 units…
A: ‘’Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…
Q: Holland’s Pizza delivers pizzas to residences and apartments near a major state university. The…
A: Break even point is the point at which company is in no profit no loss situation and contribution is…
Q: OrdEco is a social economy enterprise that recycles used computers for resale. Take note of its…
A: Economic order quantity (EOQ) is a concept under inventory management which determines the optimal…
Q: Miller Cereals is a small milling company that makes a single brand of cereal. Recently, a business…
A: Income statement: Under this Statement showing the company’s performance over a period of time by…
Q: City Pizza is adding salads and pasta dishes to their available menu items. The they will sell 1…
A: Management Accounting - In order to assist managers in making decisions, management accounting can…
Q: What is the optimal order quantity with respect to so many lot sizes? What would be the optimal…
A: Given information is: Bostick Company is a distributor of air filters to retail stores. It buys its…
Q: shreds, and distributes a variety of salad mixes in 2-pound bags. Doug Voss, Operations VP, is…
A: The cross over point is the point where total costs of different alternative are equal.
Q: Suppose that Head-First Company now sells both bicycle helmets and motorcycle helmets. The bicycle…
A: Part 1:
Q: Miller Cereals is a small milling company that makes a single brand of cereal. Recently, a business…
A: Project financial statement is the estimated figure of income and expense. The operating profit is…
Q: Blossom’s flour supplier has announced a shortage of gluten-free flour. As a result, Blossom will…
A: When some input is in limited capacity , then we need to find out contribution per input. For…
Q: Carondelet Coffee has begun making and selling pastries. The fixed costs of making the pastry are…
A: Contribution margin per pastry = sales price - variable costs = $3 - $0.75 = $2.25
Q: Consider this problem for the next five questions: At Kahel Enterprises, a producer of orange crates…
A: Labor productivity means the per unit of the goods or service (output) produced for per unit of…
Q: Use Solver to maximize the company’s profit. What is the maximum profit? How many desks and chairs…
A: This sum can be solved using Linear Programming method as well as algebraic method. 1:…
Q: Republic Industries decides to price delivery services according to the results of a recent…
A: Total delivery cost charged = (No. of orders x $10) + (No. of deliveries x $35) + (Total no. of…
Q: Mary Jones and Jack Smart have joined forces to start M&J Food Products, a processor of packaged…
A: Income=Sale-Variable cost-Fixed cost
Q: Greg’s Breads can produce and sell only one of the following two products: Oven Contribution Hours…
A: Here the most profitable product will be the product that gives the highest contribution margin per…
Q: Phillips Corporation is a major manufacturer of food processors. It purchases motors from Viking…
A: Economic Order Quantity (EOQ): Economic order quantity is the quantity of order that is purchased…
Q: Mission foods produces two flavors of tacos, chicken and fish, with the following characteristics.…
A: The costs that do not tend to change with the volume of production are known as fixed costs.
Q: Relling Corporation manufactures a drink bottle, model CL24. During 2017, Relling produced 210,000…
A: Cost: The amount paid to purchase the asset, install it, and put it into operations, is referred to…
Q: Consider this problem for the next five questions: At Kahel Enterprises, a producer of orange crates…
A: Labor productivity means the per unit of the goods or service (output) produced for per unit of…
Q: Theta Metalwork Inc. entered into an exclusive contact with an entity involved in franchising out…
A: The answer is stated below:
Q: Mars incorporated has presented the top selling chocolates - snicker, reeses and toblerone having a…
A: Break-even point in number of boxes = 150,000 boxes
Q: A firm currently produces and sells 2,500 units every 60 days. One unit costs $150 to produce and…
A: Net Present Value: It is the tool used in Capital Budgeting to evaluate the profitability of a a…
Q: Assume that HASF furniture Inc., as described, currently purchases the chair cushions for its lawn…
A: Assume that HASF furniture Inc., as described, currently purchases the chair cushions for its lawn…
Q: How much should Theta sell each rack so it can have a product profit margin of 28%?
A: In order to calculate the selling price for each rack, we need to calculate total cost of racks over…
Q: Miller Cereals is a small milling company that makes a single brand of cereal. Recently, a business…
A: Projected Income Statement Status Quo % Increase Two products Difference Sales Revenue…
Q: You have developed the following estimates for procuring an item for your manufacturing operations:…
A: Solution:- Calculation of which option is best as follows under:-
Q: Miller Cereals is a small milling company that makes a single brand of cereal. Recently, a business…
A: Below is the working with the formula:
Q: Solar Shade Inc. currently sells 40,000 basic solar shade devices per year at $60,000 each, and…
A: To calculate the annual sales figure, we will have to first consider changes in unit sold of basic…
Q: The Dairy Division of Concord Corporation produces and sells milk to outside customers. The…
A: Since the dairy division has sales of 150,000 gallons and has a capacity of 200,000 gallons of milk…
Q: uce for institutional use. Jack has years of food processing experience, and Mary has extensive…
A: Step 1 A cost-benefit analysis is the process used to measure the benefits of a decision or taking…
Q: The JMT Creamery Co. produces ice-cream bars for vending machines and has an annual demand for 72000…
A: The question is related to Inventory Management. In the given question it is given that the company…
Trending now
This is a popular solution!
Step by step
Solved in 4 steps
- In response to a growing awareness of gluten allergies, Pharoah Bakery tried using gluten-free flour in its three most popular cookies. After several attempts and a lot of inedible cookies, the company perfected new recipes that yield delicious gluten-free cookies. The costs of producing a batch of 100 cookies are as follows: Chocolate Oatmeal Raisin Sales price Variable cost Fixed cost Total cost Gross profit Pounds of flour རྩི 2」བྷཡོ」དྷ」ཕི」 Sugar $115 $120 $74 $78 13 21 87 99 $28 $21 2.5 2 (a) Assuming no raw material constraints and unlimited demand for cookies, calculate contribution margin per batch for Chocolate Chip, Sugar, Oatmeal Raisin cookies. (Round answers to 2 decimal places, e.g. 52.75.) Cookies Contribution Margin $ Chocolate Chip $ Sugar $ Oatmeal Raisin What type of cookie would maximize the company's contribution margin?The Eastwood Cake Factory sells chocolate cakes, birthday decorated cakes, and specialty cakes. The factory is experiencing a bottleneck and is trying to determine which cake is more profitable. Even though the company may have to limit the orders that it takes, Eastwood is concerned about customer service and satisfaction. Chocolate Birthday Specialty Cake Cake Cake Sales price $20.00 $45.00 SE0.00 Variable cost per cake $5.00 $12.00 $20.00 Hours needed to bake, frast, and decorate 1 hour 2.5 hours 2 haurs Determine which cake the company should concentrate on producing first and then second and finally third. Select one: a. Birthcay, Chocolate, Specialty Ob. Specialty, Birthday, Chacolate c. Chocalate, Birthday, Specialty Od. Specialty, Chocolate, BirthdayScenario Two: "What if" Analysis Your client would like to consider adding ice cream cakes to the list of items available for sale. She is wanting to offer cakes with customized cake, ice cream decorations. She thinks she can sell 20 small cakes a week and 25 large cakes a week. It seems to be lucrative because the small cake is $18.95 and the large cake is $28.95. Costs are $6.45 per small cake and $9.40 per large cake. It will cost her $3,500 to purchase the equipment and insurance costs would rise by another $375 per month due to the hot equipment needed to make the cakes. What is your recommendation? Would it be profitable to sell the cakes?
- Problem #2. You make 100 fancy chocolate tarts for Valentine's Day bake sale at a cost of $3.10 each. If a spoilage rate of 7% is anticipated, at what price should you sell the tarts to achieve 42.5% markup based on cost?1. Yum Yum Bake Shop makes birthday chocolate chip cookies that cost $2.00 each to prepare. It is expected that 8% of the cookies will crack and be discarded. If a 55% markup on cost is required and 100 cookies are produced, what should the bake shop charge for each cookie? (Round your answer to the nearest cent.)I Love My Chocolate Company makes dark chocolate and light chocolate. Both products require cocoa and sugar. The following planning information has been made available: Standard Amount per Case Dark Chocolate Light Chocolate Standard Price per Pound 7 Ibs. Сосоа 10 Ibs. $5.00 Sugar 8 Ibs. 12 Ibs. 0.60 Standard labor time 0.3 hr. 0.4 hr. Dark Chocolate Light Chocolate Planned production 5,400 cases 14,000 cases Standard labor rate $14.50 per hr. $14.50 per hr. I Love My Chocolate Company does not expect there to be any beginning or ending inventories of cocoa or sugar. At the end of the budget year, I Love My Chocolate Company had the following actual results: Dark Chocolate Light Chocolate Actual production (cases) 5,100 14,600 Actual Price per Pound Actual Pounds Purchased and Used Сосоа $5.10 154,000 Sugar 0.55 210,600 Actual Labor Rate Actual Labor Hours Used Dark chocolate $14.00 per hr. 1,390 Light chocolate 15.00 per hr. 5,990 Required:
- Problem 5. Mama Kacina, Inc. makes the best pies in the world. Her pies are so popular that they are shipped all over the island. For 40 firm has made its own crusts along with the delicious filling that goes in. Using an ABC system that Mama's nephew, who has an MBA, implemented, the cost of the crusts is: years, the DM $.25 DL .50 ОН .75 $1.50 Total Cost The ABC system contains three cost pools. Costs are almost entirely fixed in all three cost pools. Recently, a new supplier has been established by a local entrepreneur. The new firm has offered to make all the pie crusts Mama needs for $.80 each. Mama would save $.70 per pie. Currently, Mama makes 1,500 pies per month. Her nephew tells her that her firm is operating at capacity. He suggests that buying the pies from the new supplier would allow them to increase the number of pies they sell by month. He says that would increase the firm's contribution margin by $500 per month. Mama doesn't know what a contribution margin is, but she…I Love My Chocolate Company makes dark chocolate and light chocolate. Both products require cocoa and sugar. The following planning information has been made available: Standard Amount per Case Cocoa Dark Chocolate Light Chocolate Standard Price per Pound 9 lb. 6 lb. 7 lb. 11 lb. $5.2 0.6 Sugar Standard labor 0.4 hr. 0.5 hr. time Planned production Standard labor rate Dark Chocolate Light Chocolate 4,200 cases $16.5 per hr. 10,000 cases $16.5 per hr. I Love My Chocolate does not expect there to be any beginning or ending inventories of cocoa or sugar. At the end of the budget year, I Love My Chocolate Company had the following actual results: Dark Chocolate Actual production (cases) Light Chocolate 10,400 Actual Pounds Purchased and Used 4,000 Actual Price per Pound Cocoa Sugar $5.3 0.55 98,900 138,800 Actual Labor Rate Actual Labor Hours Used Dark chocolate $16.2 per hr. 16.8 per hr. 1,460 5,330 Light chocolate Required: Prepare the following variance analyses for both chocolates and…Sheridan's Fish House can produce and sell only one of the following two products: Fried catfish Fried grouper Fryer Hours Required O $12700 O $38100 O $50800 O $63500 3 4 Contribution Margin Per Unit $15 $16 The company has fryer capacity of 12700 hours. How much will the contribution margin be if it produces only the most profitable product?
- Pinvoker= &takeAssignmentSessionLocator=&inprogress false Dog Bone Bakery, which bakes dog treats, makes a special biscuit for dogs. Each biscuit uses 0.75 cup of pure semolina flour. They buy 4,000 cups of flour at $0.50 per cup. They use 3,512.5 cups of flour to make 4,700 biscuits. The standard cost per cup of flour is $0.49. A. What are the direct materials price variance, the direct materials quantity variances, and the total direct materials cost variance? Round your answers to two decimals. Enter all amounts as positive numbers. Direct materials price variance 2$ 40 V Unfavorable v Direct materials quantity variance $ 6.13 V Favorable v Total direct materials cost variance $ X. Unfavorable v B. What is the standard cost per biscuit for the semolina flour? Round your answer to four decimals. $4 0.3675 V Feedback2. Rue Company makes several types of graphic tablets. One factory specializes in two types, the Doodler and the Sketcher. The Doodler has been a bread-and-butter product for a number of years, while Sketcher is relatively new and struggling to gain acceptance. Data on the two machines follow: DOODLER P20 10 hours SKETCHER P45 20 hours Materials cost Assembly time Expected volume for coming year 10,000 500 Assembly labor costs is P20 per hour and overhead costs are budgeted at P660,000 for the coming year. REQUIRED: 1. Determine the total number of labor hours the company will work in the coming year. 2. Determine the overhead rate per labor hour. 3. Determine the total cost of each tablet. The Doodler is now selling at P320, while the Sketcher now fetches P950. Determine the profit margin for each tablet. 4.Just-A-Diner currently makes cookies for its boxed lunches. It uses 40,000 cookies annually in the production of the boxed lunches. The costs to make the cookies are: A potential supplier has offered to sell the Diner the cookies for $0.85 each. If the cookies are purchased, 10% of the fixed overhead could be avoided. If the offer is accepted what will the effect on profit? Materials $0.30 per cookie Labor 0.30 per cookie Variable overhead 0.20 per cookie Fixed overhead 0.10 per cookie