An income statement of a company is as follows:If through a well-organized materials management department direct materials can be reduced by 10% and direct labor by 5% the improvements in profits would be:
Answer(s): B
An income statement of a company is as follows:Profit has been increased by 60% to get the in profit by 600,000 by increasing revenue; sales would have to increase to 1.2 million. What will happen with CGS?
Answer(s): A
If the cost of direct material is 60%, direct labor is 10%, and overhead is 25%of sales what will be the improvement in profit if direct material is reduced to 55%?
If the cost of direct material is 60%, direct labor is 10%,and overhead is 25%of sales. How much to give the same increase in profit? (Remember overhead cost is constant)
Answer(s): C
On the overage a company has 12week of work-in-process (WIP) inventory and annual cost of goods sold of 36$ million. Assuming the company works 50 weeks per year.What is the dollar value of the WIP?
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