Hilton Manufacturing Company
Table of contents
Hilton Manufacturing Company Should Product 103 have been dropped? (3 ways to see)
Lost sales ($5,202)
- Cost savings DL $1,341
- Compensation insurance 67 DM 946
- Power 59 Supplies 68 2,501
- Repairs 20 Lost CM: total impact of dropping ($2,701)
Loss eliminated
- Costs that remain Rent Property tax Property insurance Indirect labor Compensation ins.
- Light and heat
- Building service
- Selling expense General admin Depreciation Interest Other income Total impact
- $404 $365 78 103 448 21 20 14 917 346 713 102 (10) 3,117 (2,703) nit CM (see later)
Total impact
lost CM = 5. 3909 x 510,276 = $2,702
