The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense To compute : The contribution margin per pound of the constraining resource for each product.

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Answer 1

Question

Chapter 7, Problem 7.12E

1.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense

To compute: The contribution margin per pound of the constraining resource for each product.

2.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense.

To compute: The order that company should accept first then second and then third.

3.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense.

.To compute: The maximum contribution margin that the company can earn per month if it makes optimal use of its 5000 pound of material.

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Answer 2

Question

Chapter 7, Problem 7.12E

1.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense

To compute: The contribution margin per pound of the constraining resource for each product.

2.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense.

To compute: The order that company should accept first then second and then third.

3.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense.

.To compute: The maximum contribution margin that the company can earn per month if it makes optimal use of its 5000 pound of material.

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Answer 3

Question

Chapter 7, Problem 7.12E

1.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense

To compute: The contribution margin per pound of the constraining resource for each product.

2.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense.

To compute: The order that company should accept first then second and then third.

3.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense.

.To compute: The maximum contribution margin that the company can earn per month if it makes optimal use of its 5000 pound of material.

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Answer 4

Question

Chapter 7, Problem 7.12E

1.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense

To compute: The contribution margin per pound of the constraining resource for each product.

2.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense.

To compute: The order that company should accept first then second and then third.

3.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense.

.To compute: The maximum contribution margin that the company can earn per month if it makes optimal use of its 5000 pound of material.

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Answer 5

Chapter 7, Problem 7.12E

1.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense

To compute: The contribution margin per pound of the constraining resource for each product.

2.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense.

To compute: The order that company should accept first then second and then third.

3.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense.

.To compute: The maximum contribution margin that the company can earn per month if it makes optimal use of its 5000 pound of material.

Answer 6

Chapter 7, Problem 7.12E

1.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense

To compute: The contribution margin per pound of the constraining resource for each product.

Answer 7

Chapter 7, Problem 7.12E

1.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense

To compute: The contribution margin per pound of the constraining resource for each product.

Answer 8

2.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense.

To compute: The order that company should accept first then second and then third.

Answer 9

2.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense.

To compute: The order that company should accept first then second and then third.

Answer 10

3.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense.

.To compute: The maximum contribution margin that the company can earn per month if it makes optimal use of its 5000 pound of material.

Answer 11

3.

To determine

Introduction: The incremental profit earned on sales of each unit as a result of all associated variable cost being deducted from the price of the product is termed as the contribution margin. It represents the earning available to pay fixed expense.

.To compute: The maximum contribution margin that the company can earn per month if it makes optimal use of its 5000 pound of material.

Answer 12

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Answer 13

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Answer 14

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Answer 15

Ch. 7 - Prob. 7.1Q Ch. 7 - Prob. 7.2Q Ch. 7 - Prob. 7.3Q Ch. 7 - Prob. 7.4Q Ch. 7 - Prob. 7.5Q Ch. 7 - Prob. 7.6Q Ch. 7 - Prob. 7.7Q Ch. 7 - Prob. 7.8Q Ch. 7 - Prob. 7.9Q Ch. 7 - Prob. 7.10Q

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