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Chapter 8/iPerential Cant Analysis 399 1. 5.000 units of crap output. The company spent P12,500 in producing to do with b.) per unit. of resource, bust be considered none of the above all of the above the production range of HEFE Corp. is deciding on who these items. Two options are available sell the product as a screp per be at P0.88 each; the unita 20 it for P2.90 The net advantage or disavantage to the company of proposals followed ist (RPCPA Oct. 98 adapted) P6,250 advantage P1,850 advantage 24,400 disadvantage P6,250 disadvantage none of the above 3. b. 4 none d. e. Items 8 and 9 are based on the following detar (RPCPA Nov. 185 adapted) Dinalupihan Corporation has available production capacity of 18,000 hours. This facility can be used to produce 3 products in any combination. fotel fixed cost is P10,000. The other pertinent data are as follower P RODUCTS A B Selling price P25 P 35 P 30 Variable cost 15 27 14 No. of hours required/unit 5 2 Market limit in peso sales value P87,500 P90,000 8. The best possible combination of products is (in peso sales value) A - 200 units; B - 3,000 units; C - 2,500 units 5. A - 1,000 units; 8 - 12,000 units; C - 5,000 units A - P10,000; B - P180,000; C - P175,000 d. A - P5,000; 8 - P90,000; C - P87,500 Answer not given The net profit associated with the best combination of products is: B. P70,000 b. P52.000 e. P26,000 d. P 8,000 e. Answer not given (RPCPA Oct, '83 adapted) Bataan Company manufactures Part # used in the finishing operation. Prime Costs 35.00 (of which 155 is fixed) Factory overhead The cost per unit of 1,000 units of Part Hare: P75.00 Baguio Company has offered to sell Bataan 1,000 units of Part # for P210.00 per unit. If Bataan accepta Baguio's offer, the released manufacture of Part 8. In addition, 75% of fixed overhead applied to facilities could be used to save P95,000 in relevant enata in ied Part H would be totally eliminated