Case Study Of Abbie Johnson Consider The Special Order

Before allocating the fees, Komandor was buying 500,000 units at $0.45$/unit  duty fees = 500,000 x $0.45 x 0.09 = $20,250

QUESTION 4: Kai decides to add color and keep his price the same. This will increase variable costs by $0.40 per issue. What will be the new unit volume (copies per issue) required to maintain $500 profits and cover the increased fixed and variable costs?

It is given that one dollar spent for promoting Brand I produce a demand for 5 bottles and one dollar spent for promoting Brand II produce a demand for 8 bottles . This means the advertisement cost per bottle for Brand I is $0.20 and the advertisement cost per bottle for Brand II is $0.125.

1- The total unit cost = Total Variable Cost + Production Fixed Expenses + Advertising Expense + Selling and Administrative Expense = 3.23 + 1.20 + 0.30 + 0.19 = 4.92.

– for PPL this approach works for the field users to negotiate and issue orders up to $50,000 contracted service and $3,000 for the materials, which helps out tremendously because they are a 24/7 company.

We offer the lowest prices on wholesale and promotional solutions in America today. We guarantee this! If you find a better price on an ID solution that is of the same quality as our, we'll happily beat the price, as you deserve nothing less. Bear in mind, however, that our products are position printed, as opposed to repeat printed. Furthermore, our products com with double screen printing or dye sublimination to ensure the colors don't run, and they feature swivel clips. When submitting information on a competitor's quote, make certain it is in writing and that this quote includes any applicable taxes and delivery charges, as we consider all information when comparing quotes. Our goal is to ensure you get the best price possible without sacrificing quality in the

C.) I would take the order at $1,500 only under the conditions that Lambeth would be able to cut enough costs to still be able to make a profit. One way that the company could do this would be to cut costs in areas such as materials. Not only might this make it more affordable to do jobs at a cheaper cost, but it would also help them compete against other companies, like Walworth. Another option would be to cut back on labor. By possibly purchasing equipment, they could save money on paying actual workers and other labor costs. One last option would be to find a cheaper supplier for materials. They could do this by having supplies bid on the jobs. This is another way to keep Lambeth in competition with other companies. If Lambeth could not comply with these conditions, I would not make the cabinets for anything less than $1,625 just so the company could break even.

The cost of distributing fliers into the student's mailboxes will be a flat rate charge of $144.61.

The Specialty Toys Company faces a challenge of deciding how many units of a new toy should be purchased to meet anticipated sales demand. If too few are purchased, sales will be lost; if too many are purchased, profits will be reduced because of low prices realized in clearance sales. Here, I will help to analyze an appropriate order quantity for the company.

22. Variable costs ________. A. are fixed per unit and vary in total B. are fixed in

Though the investment is just 12 months between both issues, the perceptions is a 2-year period. Therefore, I can offer the 2-year discount of 15% for the 1/2 page, and I’ve squeezed 20% discount for the full page. To offset the additional free month, I have built in an additional discount into both the full page and half page to equal the $653.

Print-R-Us a nationally based print shop in the united states opted to institute an automated online ordering system to replace the customer service department as stated in our problem statement. Its major functions in relation to solving the shops problem include the following.

I wanted to follow up with you on the invitation to participate in the prime reading program and ensure you have the necessary information to make a decision. My apologies for the information originally provided on the payments were incorrect. After further investigation and efforts to provide an exact calculation to assist in understanding the potential net revenue, I discovered the payment per unit sale is actually as follows.

Additional advantage with this option we see is that, as SteenBurg laid down the facts, this option provides a real synergy for the company, integrating several pieces into a significant system and allowing the company to gain more rather than operating them separately. Importantly, unlike other very successful products of Xerox, Book-In-Time solutions fits on a specific niche, operating most efficiently only for run lengths 1,000 or less. But, based on Table-D details, short-run digital printer happens to be economical beyond run lengths of 350 or more assuming that reductions in cost are uniformly distributed between run lengths of 100 and 500 (See Appendix – III for sweet point for run lengths).

could choose either to outsource printing or to build their own printing facilities, which put even