5e sol15-04

5e sol15-04 - ( price x Output ) - ( unit price x Power...

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Cost Management Hansen and Mowen Ex 15-4 Name: SOLUTION Enter the appropriate numbers in the shaded cells in columns D, F, H, L, and N. 1) Input PQ x P PQ x P AQ x P AQ x P Change unit (output / price) Power ( 360,000 / 8 ) x $3.00 = $135,000 18,000 x $3.00 = $54,000 $81,000 Materials ( 360,000 / 4 ) x $15.00 = 1,350,000 81,000 x $15.00 = 1,215,000 135,000 $1,485,000 $1,269,000 $216,000 2) Selling Power Material Total profit change:
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Unformatted text preview: ( price x Output ) - ( unit price x Power used ) - ( Unit price x used ) 2007: ( $8 x 360,000 ) - ( $3 x 18,000 ) - ( $15 x 81,000 ) = $1,611,000 2006: ( $6 x 307,200 ) - ( $2 x 38,400 ) - ( $16 x 76,800 ) = $537,600 $1,073,400 Price Recovery = Total profit change-Productivity-induced change = $1,073,400-$216,000 = $857,400...
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This note was uploaded on 12/02/2009 for the course ACC 202 taught by Professor Scottcohen during the Spring '09 term at NC Wesleyan.

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