|
Help with homework
|
View this Thread in Original format
| Dirk W. |
okay, i know we have some booksmart people in here. i am doing some managerial cost accounting homework and need some help. i know pete likes math.
**you might as well sticky this, as i will probably be posting more of these up on a continuing basis (proportionally to the amount of help i receive)**
I know there is a simple solve for X and Y formula for this, but i don't know how to construct it (the stuff in bold i have solved - therefore, i only need help with part c):
Tire Company manufactures two styles of tires, rubber and plastic. The following information is available:
Rubber / Plastic
Selling price per unit: $60 / $39
Variable cost per unit: $24 / $27
Labor hours required: 5 / 1
Total fixed costs: $12,000
Tire Company can sell a maximum of 3,000 units of each style of tire. Labor hour capacity for the year is 16,000 hours.
Required:
a. Which tire has the highest contribution margin per unit?
Rubber: 60 – 24 = 36
Plastic: 39 – 27 = 12
Rubber
b. Which tire has the highest contribution margin per hour?
Rubber: 36 / 5 = 7.2
Plastic: 12 / 1 = 12
Plastic
c. How many of each tire would Tire Company have to produce to maximize income? What would the maximum income level be? |
|
|
| Inconspicuous |
| [leaves for his Management group meeting] |
|
|
| Dirk W. |
| hahah, i knew there would be tons of help |
|
|
| SID133 |
| my roomates a accounting major so ill ask him when i get home |
|
|
| Dirk W. |
| quote: | Originally posted by SID133
my roomates a accounting major so ill ask him when i get home |
thanks, but dont worry about it... i have class in a couple hours so it will probably be too late. no big deal, i will just get the answer before class starts.
i will post it up for anyone who cares. |
|
|
| Paula |
HAHA
Loving UD as much as I am Dirk?
:p |
|
|
| Dirk W. |
| quote: | Originally posted by Paula
HAHA
Loving UD as much as I am Dirk?
:p |
hahaha, i like UD just fine.... the classes are getting kind of hard. and thats what bothers me -- this isn't a hard question, but im stumped on it. |
|
|
| Paula |
| Just a heads up, next week is going to be a little messed up because of charity week. Try to get your professors locked up if ya can :D |
|
|
| Dirk W. |
| quote: | Originally posted by Paula
Just a heads up, next week is going to be a little messed up because of charity week. Try to get your professors locked up if ya can :D |
i dont think the graduate school of management profs are participating. |
|
|
| Paula |
| aww. what a shame. My freaking accounting professor is getting locked in permanently. That's all i gotta say. |
|
|
| SID133 |
| quote: | Originally posted by Paula
aww. what a shame. My freaking accounting professor is getting locked in permanently. That's all i gotta say. |
interesting yet totally out of left field
:conf: |
|
|
| Dirk W. |
let me rephrase this entire homework question using real life examples:
Dave and packers moms are prostitutes. they work for me. each of them is only allowed to sleep with 3000 men.
Daves mom makes 36 dollars a trick
Packers mom makes only 12
on top of this, combined they only have 16000 hours to get my money. packers mom only takes an hour a trick while daves mom, smooth and methodical, takes 5 hours.
how should i allocate "that ass" in order to maximize my profit potential and keep me from choking a bitch? |
|
|
|
|
