Aholt Corporation Makes 40, 000 Units Per Year of a Part

question 163

Multiple Choice

Aholt Corporation makes 40, 000 units per year of a part it uses in the products it manufactures.The unit product cost of this part is computed as follows: An outside supplier has offered to sell the company all of these parts it needs for $46.20 a unit.If the company accepts this offer, the facilities now being used to make the part could be used to make more units of a product that is in high demand.The additional contribution margin on this other product would be $264, 000 per year. If the part were purchased from the outside supplier, all of the direct labor cost of the part would be avoided.However, $21.90 of the fixed manufacturing overhead cost being applied to the part would continue even if the part were purchased from the outside supplier.This fixed manufacturing overhead cost would be applied to the company's remaining products.
What is the maximum amount the company should be willing to pay an outside supplier per unit for the part if the supplier commits to supplying all 40, 000 units required each year?

• A)$6.60 per unit
• B)$44.60 per unit
• C)$59.90 per unit
• D)$66.50 per unit

Distinguish between different types of hybridization and their impact on molecular geometry and bond angles.

Apply knowledge of molecular structure to predict molecular shapes and angles.

Analyze molecular formulas to deduce structural features.

Understand the concept of hypothesis testing, including null and alternative hypotheses.

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Definitions:

Inflexibility

The lack of adaptability or willingness to change one's thoughts, actions, or decisions in response to new information or circumstances.

Self-Efficacy

An individual's belief in their own capacity to execute behaviors necessary to produce specific performance attainments, influencing how one feels, thinks, and acts.

Preoccupation

A state of being absorbed with thoughts or concerns about a specific issue or task, often to the exclusion of other considerations.

Tech-Support Center

A service facility dedicated to providing assistance and support for technology-related problems or inquiries, often through help desks or call centers.