XYZ manufactures A and B from a joint process cost = = $ 6 0 , 0
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Question:
XYZ manufactures A and B from a joint process cost $ Three thousand pounds of A can be sold at splitoff for $ per pound or processed further at an additional cost of $ and then sold for $ Nine thousand pounds of B can be sold at splitoff for $ per pound or processed further at an additional cost of $ and later sold for $
Requirements:
Which products should be processed further or not? Why? Give the total dollar impact to income for each product based on your recommendation. I am not looking for per unit information, but how each decision will impact the company's income in total
Decision making #Use of limited resourcessinge constraint
Bush Manufacturing has labor hours available for producing M and N Consider the following information:
Required labor per unit in hours for M is and for N is
Maximum demand in units for M is and for N is
Contribution Margin unit for M is $ and for N is $
Requirements:
What is the optimal product mixhow many M and N should be produced
Related Book For
Cornerstones of Cost Management
ISBN: 978-1285751788
3rd edition
Authors: Don R. Hansen, Maryanne M. Mowen
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