This topic contains a solution. Click here to go to the answer

Author Question: Plish Company manufactures only one type of washing machine and has two divisions, the Compressor ... (Read 83 times)

PhilipSeeMore

  • Hero Member
  • *****
  • Posts: 561
Plish Company manufactures only one type of washing machine and has two divisions, the Compressor Division, and the Fabrication Division. The Compressor Division manufactures compressors for the Fabrication Division, which completes the washing machine and sells it to retailers. The Compressor Division "sells" compressors to the Fabrication Division. The market price for the Fabrication Division to purchase a compressor is $42.00. (Ignore changes in inventory.) The fixed costs for the Compressor Division are assumed to be the same over the range of 12,000-17,000 units. The fixed costs for the Fabrication Division are assumed to be $8.00 per unit at 17,000 units.

 Compressor's costs per compressor are:
Direct materials$20
Direct labor$24.00
Variable overhead$4.50
Division fixed costs$10.50

 Fabrication's costs per completed air conditioner are:
Direct materials$170.00
Direct labor$66.00
Variable overhead$23.00
Division fixed costs$10.50

Assume the transfer price for a compressor is 145% of total costs of the Compressor Division and 1500 of the compressors are produced and transferred to the Fabrication Division. The Compressor Division's operating income is ________.
◦ $128,325
◦ $39,825
◦ $42,188
◦ $29,400


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by PhilipSeeMore on Mar 6, 2021

billybob123

  • Sr. Member
  • ****
  • Posts: 336
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.
Answer Preview
Only 58% of students answer this correctly




PhilipSeeMore

  • Member
  • Posts: 561
Reply 2 on: Mar 6, 2021
YES! Correct, THANKS for helping me on my review


Laurenleakan

  • Member
  • Posts: 309
Reply 3 on: Yesterday
Great answer, keep it coming :)

 

Did you know?

A cataract is a clouding of the eyes' natural lens. As we age, some clouding of the lens may occur. The first sign of a cataract is usually blurry vision. Although glasses and other visual aids may at first help a person with cataracts, surgery may become inevitable. Cataract surgery is very successful in restoring vision, and it is the most frequently performed surgery in the United States.

Did you know?

Opium has influenced much of the world's most popular literature. The following authors were all opium users, of varying degrees: Lewis Carroll, Charles, Dickens, Arthur Conan Doyle, and Oscar Wilde.

Did you know?

IgA antibodies protect body surfaces exposed to outside foreign substances. IgG antibodies are found in all body fluids. IgM antibodies are the first type of antibody made in response to an infection. IgE antibody levels are often high in people with allergies. IgD antibodies are found in tissues lining the abdomen and chest.

Did you know?

Excessive alcohol use costs the country approximately $235 billion every year.

Did you know?

More than 20 million Americans cite use of marijuana within the past 30 days, according to the National Survey on Drug Use and Health (NSDUH). More than 8 million admit to using it almost every day.

For a complete list of videos, visit our video library