Answer Happy

Question 45 Perfect Reb Corporation manufactures four products; information regarding those products is as follows: Sales Price per Unit Variable Cost per Unit Machine Hours per Unit Periodic Demand in Units $300 $170 5 10 300 A $250 $130 3 500 B $350 $210 4 800 C $500 $330 6 250 10 pts D Answer the following: (A) If Perfect Reb Corporation has a monthly capacity of 5,431 machine hours per period, how many units of each product should Perfect Reb produce in order to maximize operations efficiency? (B) Suppose Perfect Reb Corporation paid $9,000 for equipment to increase machine hour capacity to 6,500 per period and is subject to a tax rate of 25%. What is the change in net income when compared to part "A" of this problem? Label your answers. SHOW YOUR WORK FOR POTENTIAL OF EARNING PARTIAL CREDIT IN THE CASE OF AN INCORRECT ANSWER.

Question 44 Tiger Woods Enterprises manufactures two products (information follows). Fixed costs are $250,000; the tax rate is 35%. PRODUCT Deceit Potion SALES MIX 2 1 SALES PRICE/UNIT VARIABLE COST/UNIT $50 $25 Forgiveness Ointment Calculate (A) the composite contribution margin per unit. (B) the break-even point in composite units, and (C) the amount of sales revenues in dollars if the company reports after-tax income of $550,000. Label your answers and round answers in units to the nearest unit. SHOW YOUR WORK FOR POTENTIAL OF EARNING PARTIAL CREDIT IN THE CASE OF AN INCORRECT ANSWER. $40 $15 15 p

Question 43 15 pts Serial Weightlifters Incorporated manufactures a single product that sells for $150 per unit and has variable costs of $110 per unit. The entity's annual fixed costs are $484.000. Calculate (A) the break-even point in units and (B) the amount of units necessary to be sold if the company is targeting after-tax income to be $250,000, given an average tax rate of 25%. Label your answers, and round answers in units to the nearest unit. SHOW YOUR WORK FOR POTENTIAL OF EARNING PARTIAL CREDIT IN THE CASE OF AN INCORRECT ANSWER.

Question 42 Local Domination, Incorporated produces two products: Units Produced/Sold Selling Price (unit) Product 1: Product 2: 4.900 O Increase by $33,500 O Decrease by $8,500 O Decrease by $16,500 O Decrease by $33,500 10.900 $ $ 21 19 Variable Cost (unit) 15 14 4 pts Fixed costs are $82,000, of which $21,000 can be directly traced to Product 1 and $46,000 can be directly traced to Product 2. If Local Domination decides to drop Product 2, the company's profits:

D Question 41 V&V Corporation manufactures 20,200 components per year. Cost data follows: Direct Materials, $102,000 Variable Overhead, $61,000 Direct Labor, $162,000 Fixed Overhead, $81,000 . . . . 4 Bev Enterprises has offered to manufacture the component for V&V Corporation for $18/unit. If V&V purchases the component from Bev, the additional unused capacity could be rented out for $11,000. If V&V outsources the production of the component, the effect on its net income would be: O An increase of $88,600 O An increase of $43,400 O A decrease of $66,600 O A decrease of $27,600