Help Seve Bruce Corporation makes four products in a single facility These produ
ID: 2587185 • Letter: H
Question
Help Seve Bruce Corporation makes four products in a single facility These products have the following unit product costs Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Unit product cost 15.50 $11.40 $12.20 $11.88 20.60 28.60 34.88 41.60 5.58 3.98 3.80 4.4 27.78 36.80 27.80 38.48 $69.30 $79.90 $78.60 $96.2e Additional data concerning these products are listed below Grinding minutes per unit Selling price per unit Variable selling cost per unit Monthly demand in units 5.00 6.50 5.58 4.60 $77.30 $94.70 88.60 $105.40 $ 3.40 2.40 4.50 % 2.80 5,200 5,200 4,280 3,280 The grinding machines are potentially the constraint in the production facility. A total of 54,800 minutes are available per month on these machines Direct labor is a variable cost in this company How many minutes of grinding machine time would be required to satisfy demand for all fout products? Mutiple Choice 23.200
Explanation / Answer
Required minutes of Grinding Machine Time = Monthly demand in units * Grinding minutes per unit
= (5,200 units * $5) + (5,200 units * 6.50)+ (4,200 units * 5.50) + (3,200 units * 4.60) = 97,620 minutes
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