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Unformatted text preview: Question 1 0.1 out of 0.1 points Correct Answer the following questions using the information below: LeBlanc Lighting manufactures small flashlights and is considering raising the price by 50 cents a unit for the coming year. With a 50-cent price increase, demand is expected to fall by 3,000 units. Would you recommend the 50-cent price increase? Question 1 answers Selected Answer: Correct Yes, because operating profits increase. Question 2 text Question 2 0.1 out of 0.1 points Correct Managers tend to favor the alternative that makes their performance look best. Therefore, they tend to focus on: Question 2 answers Selected Answer: Correct the measures used in the performance evaluation model Question 3 text Question 3 0.1 out of 0.1 points Correct Answer the following questions using the information below: Raines Company manufactures three sizes of kitchen appliances: small, medium, and large. Product information is provided below. The maximum machine-hours available are 6,000 per week. What is the contribution margin per machine-hour for a large chair? Question 3 answers Selected Answer: Correct $2.70 Question 4 text Question 4 0.1 out of 0.1 points Correct Which of the following would NOT be considered in a make-or-buy decision? Question 4 answers Selected Answer: Correct unchanged supervisory costs Question 5 text Question 5 0.1 out of 0.1 points Correct For decision making, a listing of the relevant costs: Question 5 answers Selected Answer: Correct All of these answers are correct. Question 6 text Question 6 0 out of 0.1 points Incorrect Computer Products produces two keyboards, Regular and Special. Regular keyboards have a unit contribution margin of $128, and Special keyboards have a unit contribution margin of $720. The demand for Regulars exceeds Computer Product's production capacity, which is limited by available machine-hours and direct manufacturing labor-hours. The maximum demand for Special keyboards is 80 per month. Management desires a product mix that will maximize the contribution toward fixed costs and profits. Direct manufacturing labor is limited to 1,600 hours a month and machine-hours are limited to 1,200 a month. The Regular keyboards require 20 hours of labor and 8 machine-hours. Special keyboards require 34 labor-hours and 20 machine-hours. Let R represent Regular keyboards and S represent Special keyboards. The correct set of equations for the keyboard production process is: Question 6 answers Selected Answer: Incorrect Question 7 text Question 7 0 out of 0.1 points Incorrect ________ would be a consideration in a make-or-buy decision. Question 7 answers Selected Answer: Incorrect Variable factory overhead Question 8 text Question 8 0.1 out of 0.1 points Correct Answer the following questions using the information below: Helmer's Rockers manufactures two models, Standard and Premium. Weekly demand is estimated to be 100 units of the Standard Model and 70 units of the Premium Model. The following per unit data apply: If there are 496 machine-hours available per week, how many rockers of each model should Jim...
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This note was uploaded on 08/28/2010 for the course ACCTG 101 taught by Professor Smith during the Spring '10 term at Alabama State University.
- Spring '10