Philly Pretzel Company produces 1,000 boxes of specialty pretzels. The cost of box of pretzels...
80.2K
Verified Solution
Link Copied!
Question
Accounting
Philly Pretzel Company produces 1,000 boxes of specialty pretzels. The cost of box of pretzels is given below. Direct materials $8 Direct labor 12 Variable overhead 9 Fixed overhead 14 An outside supplier has offered to produce the pretzels for $20 per box. Philly can reduce the fixe overhead by 20% if it outsources the production of the pretzels. How many total dollars will Phill Pretzel Company save if it accepts the offer? State answer in numbers, no commas, no decimals, no dollar signs.
Philly Pretzel Company produces 1,000 boxes of specialty pretzels. The cost of box of pretzels is given below. Direct materials $8 Direct labor 12 Variable otverhead 9 Fixed overhead 14 An outside supplier has offered to produce the pretzels for $20 per box. Philly can reduce the fix overhead by 20% if it outsources the production of the pretzels. How many total dollars will Phil Pretzel Company save if it accepts the offer? State answer in numbers, no commas, no decimals, no dollar signs
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!