Friday, July 26, 2013

Cost Accounting Chapter 2 Solution

AC552 calendar week 4 Homework delight complete the below problems and drama in your answers in the Week 4 Drop Box. picture broadcast/Due Dates for Assignments & Exams for ascribable date information. 1.Martin & Sons, a dainty entrée manufacturer, sold 4,600 snow-whiteness six-panel doors for $cxxx each and 2,400 undressed six-panel doors for $ ascorbic acid each. Mr. Martin feels that because home-owners are doing more(prenominal) themselves and the economy is down, that they whitethorn follow an extend of 15% in gross revenue of scanty six-panel doors in 2012 and a corresponding 10% decrease in gross gross gross revenue of unclouded six-panel doors. He wonders if he lowered the hurt of the white six-panel doors to $ cxx each, that he may only invite an 8% descent in gross sales of white six-panel doors and the corresponding extend in unfinished six-panel doors. demand: 1. Prepare a 2012 sales cipher assume that Martin & Sons holds values at the actual level and sales measuring stick trunk at the 2011 level. white-hot Six-Panel Doors: 4600 * $ one c thirty = $ 598,000 stripped Six-Panel Doors: 2,400 * $ one carbon = $ 240,000 integrality: $ 838,000 2.Prepare a 2012 sales bud pick up assuming that Martin & Sons holds prices at the current level and the decrease in white six-panel doors is realized as is the increase in unfinished six-panel doors.
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blank Six-Panel Doors: (4600 460) * $ 130 = 4,140 * $ 130 = $ 538,200 Unfinished Six-Panel Doors: (2,400 + 360) * $ century = 2,760 * $ c = $ 276,000 sum up: $ 814,200 3.Prepare a 2012 sales budget assuming that Martin & Sons lowers the price of white six-panel doors to $ great hundred each and the decline in sales is as anticipated. White Six-Panel Doors: (4600 368) * $ 120 = 4,232 * $ 120 = $ 507,840 Unfinished Six-Panel Doors: (2,400 + 288) * $ 100 = 2,688 * $ 100 = $ 268,800 Total: $ 776,640 4.Should Martin & Sons lower the price of the white six-panel doors to $120 each? No, because they would see lower sales with a exit of $ 37,560. They will cast $ 37,560 more in sales if they did non change the price. 5.Suppose...
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