Question: my calculations are off. the highlighted answer is correct please help to solve. 01100 looxio 26. Expo Manufacturing Inc., is in the process of evaluating
01100 looxio 26. Expo Manufacturing Inc., is in the process of evaluating a 'new product using the following information: .A new transformer has two production runs each ye .The new transformer incurred $35,000 in development costs and is expected to be produced over the next three years. Direct costs of producing the transformers are $40,000 per run of 6,600 transformers each. Indirect manufacturing costs charged to each run are $115,000 .Destination charges for each transformer average $3.00. . Customer service expenses average $0.30 per transformer. The transformers are selling for $30.00 the first year and will increase by $1.00 each year thereafter. Sales units equal production units each year. 8.as " What is the estimated life -cycle operating income for the first three years? 2 O A. $1,301,560 060 a80 @ D. $65.920 8812 ID: 13.6-9a
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