Answer the Following Question(s)using the Information Below

question 85

Multiple Choice

Answer the following question(s) using the information below.Schmidt Corporation produces a part that is used in the manufacture of one of its products.The costs associated with the production of 10,000 units of this part are as follows:
Of the fixed factory overhead costs, $30,000 is avoidable.
-Assuming accepting the offer creates excess facility capacity that can be used to produce 2,000 units of another product that has a unit selling price of $24, variable costs of $12, and fixed cost allocation of $3.What is the highest price that Schmidt should be willing to pay Phil Company for 10,000 units of the part?

• A)$146,000
• B)$164,000
• C)$152,000
• D)$134,000
• E)$140,000

Analyze the role and rights of third-party beneficiaries in contract assignments.

Identify the limitations and prohibitions on the assignment and delegation of contracts based on statutes or contract terms.

Understand the concept of privity of contract and its exceptions.

Comprehend the distinction between intended and incidental beneficiaries and their rights.

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Definitions:

Information Systems

Systems designed to collect, process, store, and distribute information to support decision making and control in an organization.

3PL Relationships

Business arrangements between companies and third-party logistics providers to manage and execute logistics services more efficiently.

Logistics and Supply Chain Processes

The integrated activities required to plan, control, and execute a product's flow from materials to production to distribution in the most economical way possible.

Process Model

A representation or simulation of an actual process, detailing the steps and sequences involved, often used for analysis, optimization, and communication.