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Author Question: Foley Products Company makes a household appliance with model number X500. The goal for 2018 is to ... (Read 78 times)

MirandaLo

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on: Mar 6, 2021
Foley Products Company makes a household appliance with model number X500. The goal for 2018 is to reduce direct materials usage per unit. No defective units are currently produced. Manufacturing conversion costs depend on production capacity defined in terms of X500 units that can be produced. The industry market size for appliances increased 10% from 2017 to 2018. The following additional data are available for 2017 and 2018:

20172018
Units of X500 produced and sold16,00017,600
Selling price$140$133
Direct materials (square feet)36,00035,000
Direct material costs per square foot$10$13
Manufacturing capacity for X500 (units)12,50011,800
Total conversion costs$350,000$330,400
Conversion costs per unit of capacity$28$28

What is operating income for 2017?
◦ $1,530,000
◦ $2,240,000
◦ $1,890,000
◦ $1,880,000
Horngren's Cost Accounting: A Managerial Emphasis ¦ Datar, Rajan ¦ 16th Edition
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Marked as best answer by MirandaLo on Mar 6, 2021

rachel

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Reply #1 on: Mar 6, 2021
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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MirandaLo

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Reply 2 on: Mar 6, 2021
YES! Correct, THANKS for helping me on my review

mjenn52

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Reply 3 on: Yesterday
Excellent

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