subject
Business, 07.05.2020 09:59 joseflores10205

Sage Company is operating at 90% of capacity and is currently purchasing a part used in its manufacturing operations for $13.00 per unit. The unit cost for the business to make the part is $21.00, including fixed costs, and $12.00, excluding fixed costs. If 33,894 units of the part are normally purchased during the year but could be manufactured using unused capacity, what would be the amount of differential cost increase or decrease from making the part rather than purchasing it?

a.$33,894 cost increase

b.$33,894 cost decrease

c.$271,152 cost increase

d.$440,622 cost decrease

ansver
Answers: 2

Another question on Business

question
Business, 21.06.2019 21:00
Accublade castings inc. casts blades for turbine engines. within the casting department, alloy is first melted in a crucible, then poured into molds to produce the castings. on may 1, there were 230 pounds of alloy in process, which were 60% complete as to conversion. the work in process balance for these 230 pounds was $32,844, determined as follows: exercises during may, the casting department was charged $350,000 for 2,500 pounds of alloy and $19,840 for direct labor. factory overhead is applied to the department at a rate of 150% of direct labor. the department transferred out 2,530 pounds of finished castings to the machining department. the may 31 inventory in process was 44% complete as to conversion. prepare the following may journal entries for the casting department: the materials charged to production the conversion costs charged to production the completed production transferred to the machining department determine the work in process"casting department may 31 balance.
Answers: 1
question
Business, 22.06.2019 14:10
When a shortage or a surplus arises in the loanable funds market a. the supply of loanable funds changes to return the economy to its original real interest rate b. the nominal interest rate is pulled to the new equilibrium level c. the demand for loanable funds changes to return the economy to its original real interest rate d. the real interest rate is pulled to the new equilibrium level
Answers: 3
question
Business, 22.06.2019 22:00
Only the united states has embassies. true or false
Answers: 2
question
Business, 23.06.2019 01:10
Hillside issues $4,000,000 of 6%, 15-year bonds dated january 1, 2016, that pay interest semiannually on june 30 and december 31. the bonds are issued at a price of $4,895,980. required: 1. prepare the january 1, 2016, journal entry to record the bonds’ issuance
Answers: 3
You know the right answer?
Sage Company is operating at 90% of capacity and is currently purchasing a part used in its manufact...
Questions
question
Biology, 14.12.2020 06:30
question
Mathematics, 14.12.2020 06:30
Questions on the website: 13722362