Question: I know if that's the answer. please help! Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The cost

I know if that's the answer. please help! Blue Ridge Bicycles

I know if that's the answer. please help!

Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The cost of producing 42,000 parts is $143,000, which includes fixed costs of $70,000 and variable costs of $73,000. By outsourcing the part, the company can avoid 30% of the fixed costs. If Blue Ridge Bicycles buys the part, what is the most Blue Ridge Bicycles can spend per unit so that operating income equals the operating income from making the part? (Round the final answer to the nearest cent.) A. $3.40 OB. S0.45 OC. $4.57 OD. $2.24 V

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

PLEASE PLEASE PLEASE THANKS!!! just do 4 just do the last 4!!! In the last reporting period, Helena's Heavenly Fodure Company recorded 100,000 units sold for the first time in the history of the...

Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The cost of producing 43,000 parts is $140,000, which includes fixed costs of 560,000 and variable costs of...

#2 Blue Ridge Bicycles a standard part in the manufacture of veral of its bikes. The cost of producing 43.000 part avoid 30% of the fixed costs. 510,000, which includes forced costs of $73,000 and...

Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The cost of producing 42 comma 000 42,000 parts is $ 140 comma 000 $140,000, which includes fixed costs of $ 69...

please show work, thank you! annel Incorporated provided the following information regarding its single product: Direct materials used Direct labor incurred 510 Variable manufacturing overhead Fixed...

Blue Ridge Bicycles Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The cost of producing 40,000 parts is $138,000, which includes fixed costs of $68,000 and...

please answer, and show work thank you!:) B. 900 espresso machines and 500 food processors 2700 espresso machines and 500 food processors D, 2700 espresso machines and 1000 food processors 13. Lie...

Blue Ridge Bicycles Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The cost of producing 40,000 parts is $138,000, which includes fixed costs of $68,000 and...

My question wave SAS >> Question 9 0.5 points Save Answer Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The cost of producing 40,000 parts is $138.000, which...

Below is a distribution for number of visits to dentists in one year.

Reid had a business building destroyed in a fire. The old building was purchased for $375,000 and $60,000 of depreciation deductions had been taken. Although the old building had a fair market value...

Modifying a database query to perform malicious operations is called a ( n ) _ _ _ _ .

Hypothesis Testing of a Single Mean LCTCS Tuition: Louisiana Community And Technical College System consist of 2 community colleges across the state. I think RPCC's tuition and fees is lower than the...

(Appendices) Kelly, age 35, spends most of her time at home taking care of her home and children. However, she works all day Friday and Saturday in her husbands computer store. She receives no...

(Appendices) One of the most critical problems in unemployment compensation at the present time is the inadequate financing of benefits, which caused the majority of states to deplete their trust...

(Appendices) Although workers compensation laws differ among the states, they have certain common features. Explain whether each of the following persons would be eligible for workers compensation...