Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Business Management Expert

Pilsbury Corporation produces range of products. Company's predetermined overhead rate is $23 per direct labour-hour, that was computed using budgeted data given below:

Variable manufacturing overhead $200,000
Fixed manufacturing overhead $375,000
Direct labor-hours 25,000

Management is thinking of a special order for 800 units of product N89E at $69 each. Normal selling price of product N89E is $88 and unit product cost is determined as follows:

Direct materials $28.00
Direct labor 22.50
Manufacturing overhead applied 34.50
Unit product cost $85.00

If special order were accepted, normal sales of this and other products would not be affected. Company has ample excess capacity to make the extra units. Suppose that direct labour is variable cost, variable manufacturing overhead is actually driven by direct labour-hours, and entire fixed manufacturing overhead would not be affected by special order.

problem:

If special order were accepted, determine the impact on company's overall profit?

Business Management, Management Studies

  • Category:- Business Management
  • Reference No.:- M931408

Have any Question? 


Related Questions in Business Management

In what sense did keynes revolutionize economic theory and

In what sense did Keynes revolutionize economic theory, and in what sense did he just add an extra dimension to Classical and Neoclassical economics? Explain.

Does it make sense for a restaurant to offer early-bird

Does it make sense for a restaurant to offer early-bird specials and senior citizen discounts? Explain your answers in terms of the economic concepts of marginal revenue and marginal cost, as applicable.

Analyzing and computer security chapter 11suppose four

Analyzing and computer security Chapter 11 Suppose four other parties, whom we might call E, F, G, and H, are all working on a common task, so they use one encryption key for all communication. Now, suppose H leaves the ...

Sociologists often describe social change as the only

Sociologists often describe social change as the only constant in society. Discuss what they mean by that, and provide an example of social change that has occurred during your lifetime. How has this social change impact ...

Assignmentthe learning assignment is designed to

Assignment The learning assignment is designed to demonstrate your competence with the Terminal Course Objectives of the course. Prior to working on the assignment, you should read the week's chapters and lecture. Clearl ...

Film analysis projectchoose and select a well-known film

Film Analysis Project Choose and select a well-known film that contains work-related topics and thoroughly analyze it using concepts learned in this course (MGMT 3720 - Organizational Behavior). You must deliver a presen ...

Explain the concept of backward scheduling and give

Explain the concept of backward scheduling and give examples of how you use backward scheduling in your personal life. (Question 7, page 546) Backward planning is the process of determining where each of the varied produ ...

Jamal now age 54 lost his job as a ship builder in 1995 his

Jamal (now age 54) lost his job as a ship builder in 1995. His plant never reopened, and he has very specialized skills that are no longer in demand. Jamal's unemployment is best classified as: a. cyclical b. structural ...

Suppose that each player i in a two-player zero-sum base

Suppose that each player i in a two-player zero-sum base game Γ has a unique optimal mixed strategy xi. Prove that in the T -stage repeated game Γ T  , at each equilibrium in behavior strategies, at each stage each playe ...

Suppose the federal budget is balanced but that automatic

Suppose the federal budget is balanced but that automatic stabilizers increase tax revenues by $50 billion per year and decrease transfer payments (e.g., welfare, unemployment benefits) by $10 billion per year for every ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen