Fixed cost = 10,000                         Material cost per unit = 0.15 Labor cost per unit = 0.10              Revenue per unit = 0.65 Suppose Toys R Us sells all that it produces, profit is calculated by subtracting the fixed cost and total variable cost from total revenue. Give a mathematical model for calculating profit and implement your model from part in Excel. If Toys R Us makes 12,000 units of the new product, what is the resulting profit?   [KINDLY SHOW SOLUTION SINCE I WILL TYPE IT IN EXCEL. THANK YOU SO MUCH.]

Principles of Accounting Volume 2
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Chapter3: Cost-volume-profit Analysis
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Fixed cost = 10,000                         Material cost per unit = 0.15

Labor cost per unit = 0.10              Revenue per unit = 0.65

Suppose Toys R Us sells all that it produces, profit is calculated by subtracting the fixed cost and total variable cost from total revenue.

Give a mathematical model for calculating profit and implement your model from part in Excel.

If Toys R Us makes 12,000 units of the new product, what is the resulting profit?

 

[KINDLY SHOW SOLUTION SINCE I WILL TYPE IT IN EXCEL. THANK YOU SO MUCH.]

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