The plastic injection molding machine, Accounting Basics

+44 141 628 6080
[email protected]

The plastic injection molding machine

Sport Luggage Inc. makes high-end hard-sided luggage for sports equipment. Data concerning three of the company's most popular models appear below.

	Ski Vault		Golf Caddy		Fishing Quiver
Selling price per unit	$	320	$	320	$	275
Variable cost per unit	$	110	$	130	$	95
Plastic injection molding machine processing time required to produce one unit	13 minutes		10 minutes		2 minutes
Pounds of plastic pellets per unit	12 pounds		7 pounds		14 pounds

Required:
1a.	The total time available on the plastic injection molding machine is the constraint in the production process. What is contribution margin per unit of the constrained resources for Ski Vault, Golf Caddy and Fishing Quiver? (Round your answers to 2 decimal places.)

	Ski Vault		Golf Caddy		Fishing Quiver
Contribution margin	$	per minute	$	per minute	$	per minute

1b.

Which product would be the most profitable use of this constraint?

	Fishing Quiver
	Ski Vault
	Golf Caddy

1c.

Which product would be the least profitable use of this constraint?

	Fishing Quiver
	Ski Vault
	Golf Caddy

2a.

A severe shortage of plastic pellets has required the company to cut back its production so much that the plastic injection molding machine is no longer the bottleneck. Instead, the constraint is the total available pounds of plastic pellets. What is contribution margin per unit of the constrained resources for Ski Vault, Golf Caddy and Fishing Quiver? (Round your answers to 2 decimal places.)

	Ski Vault		Golf Caddy		Fishing Quiver
Contribution margin	$	per pound	$	per pound	$	per pound

2b.

Which product would be the most profitable use of this constraint?

	Golf Caddy
	Fishing Quiver
	Ski Vault

2c.

Which product would be the least profitable use of this constraint?

	Golf Caddy
	Fishing Quiver
	Ski Vault

Which product has the largest unit contribution margin?

	Ski Vault
	Fishing Quiver
	Golf Caddy

View Complete Question

Request for Solution File

Ask an Expert for Answer!!

Accounting Basics: The plastic injection molding machine

Reference No:- TGS0680153

Expected delivery within 24 Hours

Have a Question? (oR Write a Review)

Write atleast 100 words!!

Recent Questions Asked Accounting Basics

Q : Constraint on the decision variables and the total cost

Resolve the problem by deleting the integer constraint. What is the effect of removing this constraint on the decision variables and the total cost?

Q : Determine the financial statements relating to depreciation

Describe how the property, plant, and equipment for Walmart is presented on the Balance Sheet for 2014 10k. Find the note that follows the financial statements relating to depreciation and state in your own words the method of depreciation that Wa

Q : Calculate deprecation expense

Kleener Co. acquired a new delivery truck at the beginning of its current fiscal year. The truck cost $52,000 and has an estimated useful life of four years and an estimated salvage vaule of $8,000. Calculate deprecation expense for each year of t

Q : The use of process costing to track

Container shipping wants to begin to use process costing in the shipping department. Direct materials represent the fuel costs to run the ship, and "Containers in transit" represents work in process. Listed below is information about the shipping

Q : The plastic injection molding machine

A severe shortage of plastic pellets has required the company to cut back its production so much that the plastic injection molding machine is no longer the bottleneck.

Q : What is the amount of cash flows from operating activities

The net income reported on the income statement for the current year was $310,000. Depreciation recorded on fixed assets and amortization of patents for the year were $40,000 and $9,000, respectively.

Q : Draw time lines for lump sum cash flow at the end of year

Draw time lines for (a) a $100 lump sum cash flow at the end of year 2, (b) an ordinary annuity of $100 per year for 3 years, and (c) an uneven cash flow stream of -$50, $100, $75.

Q : What is the direct and indirect methods

To compare statement of cash flows reporting under the direct and indirect methods, select "Direct", "Indirect" or "Both" indicating the method in which the line items are reported on the statement of cash flows.

Q : What adjustment is required in the bank accounts

Receipts from cash sales of $7,500 were recorded incorrectly by the depositor as $5,700. What adjustment is required in the bank accounts?

1945244

Questions
Asked

3,689

Active Tutors

1428253

Questions
Answered

Start Excelling in your courses, Ask a tutor for help and get answers for your problems !!

ask Question

Request for Solution File

Ask an Expert for Answer!!

Accounting Basics: The plastic injection molding machine

Reference No:- TGS0680153

Have a Question? (oR Write a Review)

Recent Questions Asked Accounting Basics

Q : Constraint on the decision variables and the total cost

Q : Determine the financial statements relating to depreciation

Q : Calculate deprecation expense

Q : The use of process costing to track

Q : The plastic injection molding machine

Q : What is the amount of cash flows from operating activities

Q : Draw time lines for lump sum cash flow at the end of year

Q : What is the direct and indirect methods

Q : What adjustment is required in the bank accounts

What we believe the governments actions

Onsite operational safety and security standard

How are the sponsors broken out by type/prominence

Write a letter to the policymaker that focuses on whpa

Provide main proposals to improve homeland security

How do the beliefs and goals of the characters change

How corporations have a very large influence on campaigns

Request for Solution File

Ask an Expert for Answer!!

Accounting Basics: The plastic injection molding machine

Reference No:- TGS0680153

Recent Questions Asked Accounting Basics

Q : Constraint on the decision variables and the total cost

Q : Determine the financial statements relating to depreciation

Q : Calculate deprecation expense

Q : The use of process costing to track

Q : The plastic injection molding machine

Q : What is the amount of cash flows from operating activities

Q : Draw time lines for lump sum cash flow at the end of year

Q : What is the direct and indirect methods

Q : What adjustment is required in the bank accounts

Asked Questions