Topic 3

Exercises

3-18 (1) Product B Gross margin = $(70,000)

3-20 (1) Standard Product Gross margin = $180,000

3-22 (1) Product Z Gross margin = $50,000

Problems

3-26 (1) (b) Standard total annual setups = 160

3-28 (1) Agricultural Products Gross margin = $150,000

3-30 (5) (a) Gross margin for 50 hp = $2,518

3-32 (3) Product 1 Gross margin percent = 24.2%

3-34 (3) Total manufacturing costs for Building Pipe = $274,700

3-36 (4) Operating profit = $300,000