A company is trying to decide whether it should produce good X in the U. S. or in Mexico. Suppose a U. S. worker earns $15 per hour and a worker in Mexico earns $4 per hour. Also suppose that the marginal physical product (MPP) of the U. S. worker is 12 units of good X and the MPP of the Mexican worker is 3 units of good X. Refer to Situation 27-1. If good X is produced in the U. S. the output per $1 of cost would be than if good X were produced in Mexico, thus it would be best to produce good X ina. higher; Mexico. b. lower; Mexico. c. higher; the United States. d. lower; the United States.

Mesa company produces wooden rocking chairs. the company has two production departments, cutting and assembly. the wood is cut and sanded in cutting and then transferred to assembly to be assembled and painted. from assembly, the chairs are transferred to finished goods inventory and then are sold. mesa has compiled the following information for the month of february: cutting department assemblydepartmentdirect materials $ 73,000 $ 13,000direct labor 73,000 108,000applied manufacturing overhead 159,000 171,000cost of goods completed and transferred out 233,000 255,000required: 1, 2, 3, & 4. prepare journal entries for the transactions in the cutting and assembly departments of mesa company. (if no entry is required for a transaction/event, select "no journal entry required" in the first account field.)