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Exercise 10-38 & 10-39(Algo)(LO 10-3,4) [The following information applies to the questions displayed...

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Accounting

Exercise 10-38 & 10-39(Algo)(LO 10-3,4)
[The following information applies to the questions displayed below.]
Watko Entertainment Systems (WES) buys audio and video components for assembling home entertainment systems from two suppliers, Bacon Electronics and Hessel Audio and Video. The components are delivered in cartons. If the cartons are delivered late, the installation for the customer is delayed. Delayed installations lead to contractual penalties that call for WES to reimburse a portion of the purchase price to the customer.
During the past quarter, the purchasing and delivery data for the two suppliers showed the following:
\table[[Total purchases (cartons),Bacon,Hessel,Total],[Average purchase price (per carton),5,000,3,000,8,000],[Number of deliveries,$164,$180,$170
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