{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

HW 23 - 3 they lose $20 since they are currently at idle...

Info icon This preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Jack Meehan 12/4/2007 Accounting 152 P12-31, C12-35 Section 11 P12-31 Variable cost per board 120 Fixed Cost per board 30  Capacity = 800,000   boards  Board Damico 190 580  120 420  70 160  1 Cost Benefit Analysis Cost Benefit Analysis  $(160.00) Benefit  $(20.00) Total  $(180.00) NO, they will reject is since it has a negative benefit. 2 For the company, it would be advantageous since the board would gain $70, and Damico will lose $20.  Thus, a total of $50 will be made.
Image of page 1

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: 3 they lose $20 since they are currently at idle capacity 4 The decision should be made based on whether both decisions are operating at idle capacity , or if only one is. C12-35 Electronics Clock 12.5 70 8.25 69.75 4.25 0.25 Sell to clock for 9 Cost/Benefit Cost $(4.25) Benefit $0.75 Total $(3.50) Do not They should not transfer since it is a negative cost/benefit analysis....
View Full Document

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern