Mathematics, 18.03.2021 02:50 carolelai08
Suppose Hewlett-Packard Company must decide whether to make or buy some of its
components from Solectron Corp. The cost of producing 50,000 electrical connectors for its
printers is $110,000, broken down as follows.
Direct materials $60,000 Variable manufacturing overhead $12,000
Direct labor 30,000 Fixed manufacturing overhead 8,000
Instead of making the electrical connectors at an average cost per unit of $2.20 ($110,000 _
50,000), the company has an opportunity to buy the connectors at $2.15 per unit. If the
connectors are purchased, all variable costs and one-half of the fixed costs will be eliminated.
Instructions
A. Prepare an incremental analysis showing whether the company should make or buy the
electrical connectors.
B. Will your answer be different if the released productive capacity resulting from the
purchase of the connectors will generate additional income of $25,000?
Answers: 1
Other questions on the subject: Mathematics
Mathematics, 21.06.2019 12:30, itsdeevv
Which statement describes the term economics? a. it is the study of using limited resources to fulfill wants and needs. b. it is the study of how governments fulfill the wants and needs of nations. c. it is the study of how people spend their money to fulfill wants and needs.
Answers: 1
Mathematics, 21.06.2019 13:40, chinnellepug2149
In a certain pentagon, the interior angles are a, b,c, d,e where a, b,c, d,e are integers strictly less than 180. ("strictly less than 180" means they are "less than and not equal to" 180.) if the median of the interior angles is 61 and there is only one mode, then what are the degree measures of all five angles?
Answers: 1
You know the right answer?
Suppose Hewlett-Packard Company must decide whether to make or buy some of its
components from Sole...
Questions in other subjects:
