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Marble Kitchens is approached by Ms. Tammy Baker, a new customer, to fulfill a large one-time-only special order for a product similar to one offered to regular customers. The following per unit data apply for sales to regular customers: Direct materials $455 Direct labor 300 Variable manufacturing support 45 Fixed manufacturing support 100 Total manufacturing costs 900 Markup (60%) 540 Targeted selling price $1440 Marble Kitchens has excess capacity. Ms. Baker wants her cabinets to have golden knobs, so direct material costs will increase by $50 per unit. For Marble Kitchens, what is the minimum acceptable price of this one-time-only special order?

Which of the following is true if the constant in the cost function is low compared to the last year?

The cost components of a heater include $30 for the compressor, $10 for the sheet molded compound frame, and $75 per unit for assembly. The factory machines and tools cost is $60,000. The company expects to produce 1,000 heaters in the coming year. What cost function best represents these costs?

Answer the following questions using the information below: Midend’s Camera Shop has prepared the following flexible budget for September and is in the process of interpreting the variances. F denotes a favorable variance and U denotes an unfavorable variance.   Flexible Budget  Variances             Price Efficiency Material A $25,000 $1,500U $1,800F Material B 32,000 600F 900U Material C 42,000 1,300U 900F The actual amount spent for Material A was ________. Hint: Please use Chp 7 Formula Sheet. Recall: Flexible Budget Variance = Actual Results – Flexible Budget, and Flexible Budget Variance = Price Variance + Efficiency Variance.

Cocoa Pet Corporation manufactures two models of grooming stations, a Standard model and a Deluxe model. Total Overhead Costs are $160,000, which include Setup costs of $40,000 and Component-related costs of $120,000. In  Traditional Costing system, Total Overhead Costs are allocated based on Direct Labor Hours. In Activity-based Costing system, number of Setups and number of Components are used as cost drivers for Setup costs and Component-related costs, respectively.  Other information as below: Product Number of  Setups Number of Components Number of Direct Labor Hours Standard 3 30 650 Deluxe 7 50 150 What is the Allocation Rate of Total Overhead Costs in Traditional Costing system?

In the Traditional Costing system, is the Standard model Overcosted or Undercosted? 

When 20,000 units are produced, fixed costs are $16 per unit. Therefore, when 16,000 units are produced, fixed costs will ________. 

Answer the following questions using the information below:Braun’s Brakes manufactures three different product lines, Model X, Model Y, and Model Z. Considerable market demand exists for all models. The following per unit data apply:Model XModel YModel ZSelling price$50$60$70Direct materials666Direct labor ($12 per hour)121224Variable support costs ($4 per machine-hour)488Fixed support costs101010If there is a machine breakdown, which model is the most profitable to produce?

Answer the following questions using the information below: Konrade, Inc., expects to sell 21,000 athletic uniforms for $90 each in 2020.  Assume each athletic uniform  eeds 3 units of Direct Materials, and each unit of Direct Materials costs $10 for both 2019 actual and 2020 projected amount. For each output unit of uniform, Direct Manufacturing Labor cost is $8, and Manufacturing Overhead cost is $7. The following inventory levels apply to 2020:   Beginning inventory Ending inventory Direct materials 12,000 units 9,000 units Work-in-process inventory 0 units 0 units Finished goods inventory 6,000 units 5,000 units Please answer the following four questions in order. (1) What is the budgeted Production units in 2020?

A favorable Efficiency Variance for direct materials might indicate: