Planetary Wars for $45 cach. The cost to manufacture each game is as Halo Company manufactures...

  

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"Planetary Wars" for $45 cach. The cost to manufacture each game is as Halo Company manufactures and sells a violent video game called "Planetary Wars" for $45 cach. The cost to manufacture each game i follows. $5 $6 Direct Material Direct Labor S7 Variable Manufacturing Overhead Fixed Manufacturing Overhead $9 $27 Total Costs: Halo can package an additional flight simulator game that trains users how to fly the space crafts used in "Planetary Wars". The newly packaged product could be sold for $5 more than "Planetary Wars" alone. Because Halo would simply be adding an additional game the only cost changes would be for a slightly larger box ($7) and twice the time for an employee placing the extra game in the box (S12). No other costs would change. 1. Prepare an incremental analysis for this sell or process further decision. s as Net Income Process Further Increase / (Decrease) Sell Revenue Costs: Direct Material Direct Labor Variable Mfg. OH Fixed Mfg. OH Total Costs: Net Income 2. What decision should Halo make? er 3. What other factors should be considered? 341 "Planetary Wars" for $45 cach. The cost to manufacture each game is as Halo Company manufactures and sells a violent video game called "Planetary Wars" for $45 cach. The cost to manufacture each game i follows. $5 $6 Direct Material Direct Labor S7 Variable Manufacturing Overhead Fixed Manufacturing Overhead $9 $27 Total Costs: Halo can package an additional flight simulator game that trains users how to fly the space crafts used in "Planetary Wars". The newly packaged product could be sold for $5 more than "Planetary Wars" alone. Because Halo would simply be adding an additional game the only cost changes would be for a slightly larger box ($7) and twice the time for an employee placing the extra game in the box (S12). No other costs would change. 1. Prepare an incremental analysis for this sell or process further decision. s as Net Income Process Further Increase / (Decrease) Sell Revenue Costs: Direct Material Direct Labor Variable Mfg. OH Fixed Mfg. OH Total Costs: Net Income 2. What decision should Halo make? er 3. What other factors should be considered? 341

Answer rating: 100% (QA)

Answer Revenue 4500 5000 500 Costs Direct materials 500 700 200 Direct lab... View the full answer