ransfer work from Juarez, Mexico contractors. The plant bought a $1.1 million recision injection molding machine to make plastic parts for Toro lawn mower rimmers, and snow blowers. The plant expects to hire 12 people, including so ngineers for the expansion. If the average loaded cost (i.e., including benefits) ach employee is $100,000 per year, determine the annual worth of the new ystems over a five-year planning period at an interest rate of 10% per year. As 20% salvage value for the new equipment. $-2,436,420
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- Your company operates a fleet of light trucks that are used to provide contract delivery services. As the engineering and technical manager, you are analyzing the purchase of 55 new trucks as an addition to the fleet. These trucks would be used for a new contract the sales staff is trying to obtain. If purchased, the trucks would cost $21,200 each; estimated use is 20,000 miles per year per truck; estimated operation and maintenance and other related expenses (year-zero dollars) are $0.45 per mile, which is forecasted to increase at the rate of 5% per year; and the trucks are MACRS (GDS) three-year property class assets. The analysis period is four years; t = 38%;MARR = 15% per year (after taxes; includes an inflation component); and the estimated MV at the end of four years (in year-zero dollars) is 35% of the purchase price of the vehicles. This estimate is expected to increaseat the rate of 2% per year. Based on an after-tax, actual-dollar analysis, what is the uniform annual…Veta Enterprises GmbH makes custom-built bicycles in Germany. The following are predicted to occur during the forthcoming year, which is about to commence. For the year 2021 Direct materials $10,000 Direct Labour $32,000 Total direct cost $42,000 Indirect labour cost $5000 Depreciation $1,600 Rent $2000 Insurance $1000 Indirect materials $400 Other indirect cost $200 Total Indirec cost $10,200 Direct labour time $4,000 hours Machine time 600 hours All direct labour is paid at the same hourly rate. Peter Preat wants Veta Enterprises to make a bicycle for his son. Veta estimates that the bicycle will require materials and components that will cost e1,000. It will take 50 direct labour hours and 10 direct machine hours to make the bicycle. (a) Determine the cost of the bicycle if indirect costs are allocated with direct labour hours as an allocation base. (b) Determine the cost of the bicycle if indirect costs are allocated with direct machine hours as the allocation base. (c)…A coffee bean seller has decided to acquire new packaging machinery that will help increase the number of bags of coffee beans that each staff can complete in a day. They have 10 employees, each working eight hours per day, and able to process 12 bags of coffee beans daily. The payroll cost for the officers is Php 1,820 per day per officer, and there is a daily overhead expense of Php 6,000 for the machinery acquisition. What would be the value of their multifactor productivity with the new machinery in bags per Php? BRIE O 0.0029 O 0.0050 0.0031 O 0.0066 1545
- Schneider Logistics Company has built a new warehouse in Columbus, Ohio, to facilitate the consoli-dation of freight shipments to customers in the region. George Schneider must determine how manyteams of dock workers he should hire to handle the cross-docking operations and the other warehouseactivities. Each team costs $5,000 a week in wages and overhead. Extra capacity can be subcontracted ata cost of $8,000 a team per week. Each team, whether in-house or subcontracted, can satisfy 200 laborhours of work a week. The labor hour requirements for the new facility are uncertain. Management hasestimated the following probabilities for the requirements: How many teams should Schneider hire?Irene Corporation manufactures three lines of decorative cabinets for stereo and television sets. Skill is required of the workers and it is not easy to hire persons qualified for the work. At the present time, there are 15 qualified employees (all regular workers) available for this type of work and new personnel are to be hired and trained for the busy first six months of 2021. Each employee works approximately 150 hours a month and is paid the rate of P100 per hour. Production plans based on anticipated sales demand, are given next page in units for each of the three lines of cabinets.A manufacturer has a contract to produce 5,000 units of a certain device. The device can be made by highly-trained workmen working individually. The device can also be made by less-skilled workmen working together if they are given a specialized equipment and proper supervision. The highly-trained workmen are paid P20.00 per hour, and each can produce one unit every 2 hours, on the average.The specialized equipment can be placed in operation at an original cost of P60,000 and it will be worthless at the time all the 5,000 units are manufactured. With this equipment four men, paid P15.00 each per hour, and a foreman, paid P25.00 per hour, can do the work. All the five men working together can finish one unit in 15 minutes.Determine the gain or loss if the specialized equipment is used.
- Zachary manufacturing company makes tents that it sells directly to camping enthusiasts through a mail-order marketing program. The company pays a quality control expert $121600 per year to inspect completed tents before they are shipped to customers. assume that the company completed 1,530 tents in January and 1,240 tents in February. For the entire year, the company expects to produce 19000 tents. required c) If the cost objective is to determine the cost per tent, is the expert's salary a direct or an indirect cost? D) How much of the expert's salary should be allocated to tents produced in January and February? If the cost objective is to determine the cost per tent is the expert's salary a direct or an indirect cost?Potlatch Company manufactures sonars for fishing boats. Model 100 sells for $200. Potlatch produces and sells 5,000 of them per year. Cost data are as follows: Variable manufacturing$105.00 Per unitVariable marketing$5.00 Per unitFixed manufacturing$270,000 Per yearFixed marketing & admin$140,000 Per year The sales manager says he has an opportunity to pitch a special sale to a new Canadian fishing company that is outfitting new boats. He proposes a sale of 30 units at a special price of $140 per unit. He says it will not affect the company's regular sales and is a one-time transaction. It will require the normal amount of variable costs, both marketing and manufacturing, but will not impact fixed costs in any way. If the Canadian fishing company accepts the offer, what will the effect be on Potlatch’s net income? **Show your work to support your answerRoss White’s Machine Shop is located in Central Trinidad and specializes in designing components for the energy industry in Trinidad and Tobago. Ross White's machine shop uses 2500 brackets during the course of a year, and this usage is relativelyconstant throughout the year. These brackets are purchased from a supplier 100 miles away for $15 each, and the lead time is 2 days. The holding cost perbracket per year is $1.50 (or 10% of the unit cost) and the ordering cost is $18.75. There are 250 working days per year. a) i) What is Ross White's optimal order quantity? ii) What is the company's total annual cost of inventory?
- Guthrie Generators manufactures a solenoid that it uses in several of its products. Management is considering whether to continue manufacturing the solenoids or to buy them from an outside source. The following information is available. The company needs 18,000 solenoids per year. The solenoids can be purchased from an outside supplier at a cost of $14 per unit. The unit cost of manufacturing the solenoids is $20, computed as follows. Direct materials $ 162,000 Direct labor 36,000 Factory overhead: Variable 72,000 Fixed 90,000 Total manufacturing costs $ 360,000 Cost per unit ($360,000 ÷ 18,000 units) $ 20 If the company decides not to manufacture the solenoids, it will eliminate all of the raw materials and direct labor costs, but will eliminate only 60 percent of the variable factory overhead costs. If the solenoids are purchased from the outside source, machinery used in the production of solenoids will be sold at its…A local company has two machines for producing wrenches. Each machine requires a full- time operator - regardless of production - specialized on that machine. The operator for Machine A costs $75,000 a year in fixed costs in salary and benefits. The operator for Machine B costs $62,000 a year in fixed costs in salary and benefits. The production costs of Machine A is $16. B is $20. (a) if the wrenches sell for $28, find the break-even point of each machine. (b) at what level of production do the two production machines cost the same. ( Answer it in excel)Stanley's Candies is considering building a new plant in Europe. It predicts sales at the new plant to be 44,000 units at $4/unit. Below is a listing of estimated expenses: Category Total Annual Expenses % of Annual Expense that are Fixed Materials $20,000 20 % Labor $20,000 10% Overhead $55,000 40 % Marketing/Admin $20,000 60% A European firm was contracted to sell the product and will receive a commission of 20% of the sales price. No U.S. home office expenses will be allocated to the new facility. (Round intermediary dollar calculations to the nearest whole dollar and round percentages to one-tenth percent.) A. 37.4%. B. 160.8%. C. 22.7%. D. 39.2%.