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enquire 1 rehearse the information in induce 2 to calculate the product costs per unit for valve, pumps and come about for controllers that ar reporter in Exhibit 1. Show your calculations. find out set up cost. (8 x 16) + (8 x 16) x 5 + (12 x 16) x 10 = $2,688 Total operating cost including form off Up = 680,000 + 2,688 = $82,688 Unit Cost ($682,688/9725hr) x 0.25 + $16(Material) + (0.25 x $16) = 37.55 Valves ($682,688/9725hr) x 0.5 + 20 + 8 = $63.10 Pumps ($682,688/9725hr) x .04 + 22 + 6.4 = $56.48 catamenia Controllers Valves Pumps merge Controllers Material 16 20 22 operate apprehend 4 8 6.4 Overhead 17.55 35.1 28.08 TOTAL comprise 37.55 63.10 56.48 change determine 57.78 81.26 97.07 Gross Margin 35% 22% 42% QUESTION 2 What is y our estimate of the current persona margins for the deuce-ace products? Show your calculations and explain them. Contribution Margin is set little all variable cost. Since Maintenance and Depreciation are indomitable costs, we estimate current Contribution Margin. Variable Overhead 682,688 30,000 270,000 = $382,688 (variable overhead) (382,688 / 9725) x 0.25 = 9.84 Valves (per unit) (382,688 / 9725) x 0.5 = 19.68 Pumps (per unit) (382,688 / 9725) x 0.4 = 15.

74 Flow Controllers (per unit) Valves Pumps Flow Controllers Material 16 20 22 Run working class 4 8 6.4 ! Variable Overhead 9.84 19.68 15.74 TOTAL comprise 29.84 47.68 44.14 Selling Price 57.78 81.26 97.07 Contribution Margin 48.4% 41.3% 42% QUESTION 3 Use the information in Exhibit 2 calculate the rewrite product cost mentioned by bloody shame Ford on page 245 Overhead Receiving, Material handling (7,500 x 16)/458,000 = 0.262 (26.2%) Valves 250,000/458,000 =...If you unavoidableness to get a full essay, order it on our website: OrderCustomPaper.com

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