costacctg13_cf_ch12

costacctg13_cf_ch12 - ROI 16% 2. No, ROI is only 11.56% (OI...

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Chapter 12. Pricing Decisions and Cost Management 12-16 1. OI increases by $600 12-17 1. If accepted, OI will be $733,000 12-18 1. $23 per kilo 2. $43 per kilo 12-19 1. Value-added costs, a Nonvalue-added costs, b, c, g Gray, d, e, f 2. Value-added costs, $2,753,500 Nonvalue-added costs, $631,500 3. Value-added costs, $2,622,975 Nonvalue-added costs, $313,275 Total costs, $2,936,250 12-20 1. Value-added costs, $471,600; Nonvalue-added costs, $84,000; Gray area, $22,400 2. $186,000 3. $222,000 12-21 1. $40,000 2. $4,000 3. No, $0.19 per tile. 12-22 1. $1,738 2. $1,550 3. Yes, target costs per unit = $1,564.20 12-23 1. Price to be charged per room-night $40; Markup per room $12.50 2. No, price reduction lowers total CM. 12-24 1. $324; 8%; $216 per unit 2. Yes, price increase will increase OI to $696,000 3. $210 (= $4,200,000 / 20,000) 12-25 1. BE = 714,840 units 2a. OI $39,258,000 2b. OI $42,258,000 12-26 1. 85.19% 2.No, any price above $50 per crate makes a positive contribution to OI 12-27 1. OI $36,000
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Unformatted text preview: ROI 16% 2. No, ROI is only 11.56% (OI $26,000 / $225,000) 3. Sell at least 11,000 disks per month ($6 X - $32,250 >= $225,000 x 15%) 12-28 1a. Total sales rev $4,725,000 1b. SP $9.45 1c. ROI 9% 1d. Markup 5% 2. New selling price $8.40 3. OI = $(120,000) 12-29 1. $42.45 2. No, cost reduction is only $7.56 per unit 3. Design change has a greater impact 12-30 1. TOI $1,300,000 2. SP $12; Markup 27.66% 3. ROI 15.96%; Yes, increase SP 12-31 2. Repair $347.50 Replace $455 3. Repair 4. Replace, contribution to profit $175 12-32 1. $18 2. $17 12-33 1. SR $12.05 BR $17.47 2. L $4.51 per TH; S $483.30 per setup hr; U $40.70 per MH 3. Billing rate per TH: HTT $13.18 ACT $23.93 12-34 1. $190.88 2. LCOI $1,332,000 3. Revised LCOI $1,188,000 12-35 1. Yes 2. Elasticity of demand 3. Require Saturday night stay to qualify for lower fares. 12-36 1. $88,000 2. $59,000 12-37 1. $32.48 2. 25% 3. OI $(48,800) 4. $43.31 Cost Accounting 13e Check Figures...
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This note was uploaded on 03/28/2011 for the course ACT 303 taught by Professor Sun during the Spring '11 term at Alvin CC.

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