TJ Company produces and sells four flavors of jelly: grape, strawberry, peach, and apricot. Information about these products for the most recent year is provided below: Grape Strawberry selling price per jar $26 $57 variable costs per jar $5 $31 number of jars sold 15,000 19,000 Peach Apricot selling price per jar $15 $18 variable costs per jar $ 8 $ 6 number of jars sold 13,000 30,000 The fixed costs in the most recent year were $756,000. Calculate the number of jars of strawberry jelly that needed to be sold in the most recent year in order for TJ Company to break-even

TJ Company produces and sells four flavors of jelly: grape, strawberry, peach, and apricot. Information about these products for the most recent year is provided below: Grape Strawberry selling price per jar $26 $57 variable costs per jar $5 $31 number of jars sold 15,000 19,000 Peach Apricot selling price per jar $15 $18 variable costs per jar $ 8 $ 6 number of jars sold 13,000 30,000 The fixed costs in the most recent year were $756,000. Calculate the number of jars of strawberry jelly that needed to be sold in the most recent year in order for TJ Company to break-even

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter10: Cost Analysis For Management Decision Making

Section: Chapter Questions

Problem 10P

See similar textbooks

Similar questions

Milktopia, Inc. produces and sells milk flavored bubble gum. Over the last five months Milktopia had the following production costs and production volume.. Cost P 6,000 6,659 8,370 8,800 8,050 4. Using the high-low method, what is the fixed cost per month for bubble gum Volume (in cases) 12 14 Month March April Мay June July 18 19 17 production? a. P 400 b. P 1,200 c. P 4,800 d. P 7,600 5. The variable cost per case is a. P 400 b. Р 600 c. P 1,200 d. P 2,800
This year, Hassell Company will ship 4,000,000 pounds of chocolates to customers with total order-filling costs of 900,000. There are two types of customers: those who order 50,000 pound lots (small customers) and those who order 250,000 pound lots (large customers). Each customer category is responsible for buying 1,500,000 pounds. The selling price per pound is 2 per lb for the 50,000 pound lot and 3 per lb for the larger lots, due to differences in the type of chocolate. ABC would likely assign order-filling costs to the customer type as follows: a. 450,000, small; 450,000, large (using pounds as the driver) b. 360,000, small; 540,000, large (using revenue as the driver) c. 750,000, small; 150,000, large (using number of orders as the driver) d. 450,000, small; 450,000, large (using customer type as the driver)
Ottis, Inc., uses 640,000 plastic housing units each year in its production of paper shredders. The cost of placing an order is 30. The cost of holding one unit of inventory for one year is 15.00. Currently, Ottis places 160 orders of 4,000 plastic housing units per year. Required: 1. Compute the economic order quantity. 2. Compute the ordering, carrying, and total costs for the EOQ. 3. How much money does using the EOQ policy save the company over the policy of purchasing 4,000 plastic housing units per order?
8.. If the cost to place one order increased by P 10 and the cost to carry one Material A in stock remains the same, the economic order quantity will be 600 units а. b. 447 units с. 425 units d. 500 units
The Walton Toy Company manufactures a line of dolls and a sewing kit. Demand for the company’s products is increasing, and management requests assistance from you in determining an economical sales and production mix for the coming year. The company has provided the following data: Product DemandNext year(units) SellingPriceper Unit DirectMaterials DirectLabor Debbie 54,000 $ 23.00 $ 4.70 $ 5.40 Trish 46,000 $ 5.00 $ 1.50 $ 1.80 Sarah 39,000 $ 30.00 $ 7.04 $ 8.10 Mike 30,000 $ 14.00 $ 2.40 $ 6.30 Sewing kit 329,000 $ 8.40 $ 3.60 $ 1.35 The following additional information is available: The company’s plant has a capacity of 136,550 direct labor-hours per year on a single-shift basis. The company’s present employees and equipment can produce all five products. The direct labor rate of $9 per hour is expected to remain unchanged during the coming year. Fixed manufacturing costs total $560,000 per year. Variable overhead costs are $3 per direct labor-hour.…
Sheridan Company wants to produce and sell a new flavored water. In order to penetrate the market, the product will have to sell at $2 per 12 oz. bottle. The following data has been collected: Annual sales 50000 bottles Projected selling and administrative costs $8500 Desired profit $62000 The target cost per bottle is $0.59. $0.24. $0.17. $0.76.
The Walton Toy Company manufactures a line of dolls and a sewing kit. Demand for the company’s products is increasing, and management requests assistance from you in determining an economical sales and production mix for the coming year. The company has provided the following data: Product DemandNext year(units) SellingPriceper Unit DirectMaterials DirectLabor Debbie 54,000 $ 23.00 $ 4.70 $ 5.40 Trish 46,000 $ 5.00 $ 1.50 $ 1.80 Sarah 39,000 $ 30.00 $ 7.04 $ 8.10 Mike 30,000 $ 14.00 $ 2.40 $ 6.30 Sewing kit 329,000 $ 8.40 $ 3.60 $ 1.35 The following additional information is available: The company’s plant has a capacity of 136,550 direct labor-hours per year on a single-shift basis. The company’s present employees and equipment can produce all five products. The direct labor rate of $9 per hour is expected to remain unchanged during the coming year. Fixed manufacturing costs total $560,000 per year. Variable overhead costs are $3 per direct labor-hour.…
XYZ Company is specialized in mangoes distribution in the city of Muscat. Sales are 500 boxes (unit) per month. It costs OR 10 to make and receive an order and holding cost is OR 2.5 per box per year. The prices depend on quantities purchased such that the order quantities from 1 to 199 at a unit price RO 5; quantity 200 to 499 at a unit price 4.5 RO; and quantity 500 and more at a per unit price of 4 RO. What is the Economic Order Quantity (EOQ) while not consider the purchase cost? Round-up to the nearest integer a. 180 units O b. None is correct O c. 220 units O d. 199 units e. 500 units
Vaughn Manufacturing wants to produce and sell a new flavored water. In order to penetrate the market, the product will have to sell at $2 per 12 oz. bottle. The following data has been collected: Annual sales 50000 bottles Projected selling and administrative costs $7600 Desired profit $80000 The target cost per bottle is $0.60. $0.15. $0.25. $0.40.
he Walton Toy Company manufactures a line of dolls and a sewing kit. Demand for the company’s products is increasing, and management requests assistance from you in determining an economical sales and production mix for the coming year. The company has provided the following data: Product DemandNext year(units) SellingPriceper Unit DirectMaterials DirectLabor Debbie 62,000 $ 20.50 $ 5.50 $ 3.60 Trish 54,000 $ 7.00 $ 2.30 $ 1.32 Sarah 47,000 $ 34.00 $ 8.24 $ 7.20 Mike 56,000 $ 15.00 $ 3.20 $ 4.80 Sewing kit 337,000 $ 9.20 $ 4.40 $ 0.72 The following additional information is available:   The company’s plant has a capacity of 84,160 direct labor-hours per year on a single-shift basis. The company’s present employees and equipment can produce all five products. The direct labor rate of $12 per hour is expected to remain unchanged during the coming year. Fixed manufacturing costs total $640,000 per year. Variable overhead costs are $3 per direct labor-hour.…
The Walton Toy Company manufactures a line of dolls and a sewing kit. Demand for the company’s products is increasing, and management requests assistance from you in determining an economical sales and production mix for the coming year. The company has provided the following data: Product DemandNext year(units) SellingPriceper Unit DirectMaterials DirectLabor Debbie 62,000 $ 20.50 $ 5.50 $ 3.60 Trish 54,000 $ 7.00 $ 2.30 $ 1.32 Sarah 47,000 $ 34.00 $ 8.24 $ 7.20 Mike 56,000 $ 15.00 $ 3.20 $ 4.80 Sewing kit 337,000 $ 9.20 $ 4.40 $ 0.72 The following additional information is available:   The company’s plant has a capacity of 84,160 direct labor-hours per year on a single-shift basis. The company’s present employees and equipment can produce all five products. The direct labor rate of $12 per hour is expected to remain unchanged during the coming year. Fixed manufacturing costs total $640,000 per year. Variable overhead costs are $3 per direct labor-hour.…
The Walton Toy Company manufactures a line of dolls and a doll dress sewing kit. Demand for the dolls is increasing, and management requests assistance from you in determining an economical sales and production mix for the coming year. The company has provided the following data:    Product DemandNext year(units) SellingPriceper Unit DirectMaterials DirectLabor Debbie 70,000 $38.00 $4.70 $3.50 Trish 62,000 $ 4.60 $1.60 $1.00 Sarah 55,000 $31.00 $9.44 $6.50 Mike 48,000 $14.00 $4.00 $4.50 Sewing kit 345,000 $ 10.00 $5.20 $0.50 The following additional information is available:   The company’s plant has a capacity of 94,500 direct labor-hours per year on a single-shift basis. The company’s present employees and equipment can produce all five products. The direct labor rate of $10 per hour is expected to remain unchanged during the coming year. Fixed costs total $585,000 per year. Variable overhead costs are $3 per direct labor-hour. All of the company's…