Question

K-Too Ever wear Corporation can manufacture mountain climbing shoes for $31.85 per pair in variable raw material costs and $22.80 per pair in variable labor expense. The shoes sell for $145 per pair. Last year, production was 120,000 pairs. Fixed costs were $1,750,000. What were total production costs? What is the marginal cost per pair? What is the average cost? If the company is considering a one-time order for an extra 5,000 pairs, what is the minimum acceptable total revenue from the order? Explain.



$1.99
Sales0
Views108
Comments0
  • CreatedMarch 13, 2014
  • Files Included
Post your question
5000