Baldwin has a new design for their product baker - id4355241 от liluv6650 16.09.2020 07:22

Question

Business: Baldwin has a new design for their product baker next round that can reduce their material cost of producing units from $8.14 to $7.32. baldwin passes on half of all cost savings by cutting the current price to customers. for simplicity: - use current labor costs of $4.37 - assume all period costs as reported on baldwin s income statement (annual rpt pg 2) will remain the same. determine how many units (000) of product baker would need to be sold next round to break even on the product. select:

liluv6650 · Accepted Answer

$30,000 Explanation:Standard allocation rate = Estimated maufacturing overheads ÷ estimated machine hours Standard rate = $150,000 ÷ 10,000 hours = $15 per machine hourActual overheads incurred = $31,000Actual machine hours = 2000 hours Overheads are to be allocated based upon predetermined/standard absorption rate being $15 per machine hourManufacturing overheads to be allocated = 2000 hours × 15 per machine hourManufacturing overheads to be allocated = $30,000...

Baldwin has a new design for their product baker next round that can reduce their

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