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Title: Rockford Company manufactures a part for use in its production of hats. When 10,000 items are ... Post by: jboutdy on Jul 30, 2018 Rockford Company manufactures a part for use in its production of hats. When 10,000 items are produced, the costs per unit are:
Direct materials$0.75 Direct manufacturing labor3.00 Variable manufacturing overhead1.50 Fixed manufacturing overhead1.60 Total$6.85 Angel Company has offered to sell to Rockford Company 10,000 units of the part for $6.00 per unit. The plant facilities could be used to manufacture another item at a savings of $9,000 if Rockford accepts the offer. In addition, $1.00 per unit of fixed manufacturing overhead on the original item would be eliminated. Required: a.What is the relevant per unit cost for the original part? b.Which alternative is best for Rockford Company? By how much? Title: Rockford Company manufactures a part for use in its production of hats. When 10,000 items are ... Post by: macbookpro1 on Jul 30, 2018 Content hidden
Title: Rockford Company manufactures a part for use in its production of hats. When 10,000 items are ... Post by: jboutdy on Jul 30, 2018 Helps a lot... Now I'm ready for my quiz
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