Kearney, Inc., makes kitchen tools. Company management believes that a new model of coffee grinder would sell well at a price of $70.20. The company estimates unit materials costs to be $9.00 for the model, and overhead costs would average $30.70 per unit. The local wage rate for direct labor is $26.00 per hour. Kearney has a goal of earning an operating profit of 30.00 percent of manufacturing costs for each of its products.

Required:

What direct labor-hour input (hours per unit) could Kearney allow and still achieve its profit goal? (Round your answer to 2 decimal places.)

The direct labor cost per unit is $0.55 as computed below.

Explanation:

The direct labor-hour input that Kearney could allow and still achieve its profit goal of 30% of manufacturing costs for each of its product is calculated as:

Price =Direct material cost+Direct labor cost+overhead cost+profit %

let labor cost be y

Price=(9+30.7+y)*1.3

Price=39.7+y

since price =$70.20

Equation becomes:

70.20=(39.7+y)1.3

70.20/1.3=39.7+y

54=39.7+y

y=54-39.7

y=14.3

since direct labor hour is $14.3 per unit and direct labor cost per hour is $ 26  ,the labor-input required is 14.3/26 is $0.55

ans.

heterothermic organisms include those organisms that can switch between homeothermic (having body temperature higher than environment) and poikilothermic (having variation in internal body temperature) strategies.

some migratory birds show heterothermy as they decrease their metabolic rate during cold nights to keep their body temperature low. drop in metabolic rate allows increase in production efficiency of birds that reduces the internal body temperature to make it equal to external cold temperature during cold nights.

thus, the correct answer is 'birds allow their temperature drop in order to increase their production efficiency.'