please answer within 30 minutes. Owen Conner works part-time packaging software for a local distribution company in Indiana. The annualfixed cost is $10,000 for this process, direct labor is $4.00 per package, and material is $4.75 per package.The selling price will be $12.50 per package.a. How much revenue do we need to take in before breaking even? (Round your answer to the nearestdollar amount.)b. What is the break-even point in units? (Do not round intermediate calculations. Roundup your answer tothe next whole number.)

Breakeven point indicating the unit level or revenue level which facilitating no cost or loss. Here,…

Answered: Owen Conner works part-time packaging…

Marketing

20th Edition

ISBN:9780357033791

Author:Pride, William M

Publisher:Pride, William M

Chapter19: Pricing Concepts

Section: Chapter Questions

Problem 6DRQ

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Owen Conner works part-time packaging software for a local distribution company in Indiana. The annual i xed cost is $10,000 for this process, direct labor is $3.50 per package, and material is $4.50 per package. The selling price will be $12.50 per package. How much revenue do we need to take in before breaking even? What is the break-even point in units?
Please do not give solution in image format thanku XYZ Mobile makes phones in multiple production lines. The daily production run is for 820 phones. Each phone has a standard time of 5.1 minutes. Each production line operates for 9 hours per day. Do not include commas in your answer and enter percentages as decilmal points. For example enter 1,402 as 1402 and 67.5% as 0.675. How many production lines are needed to meet the daily demand? What is the utilization of the production lines? What is the maximum daily output of the system?
What cost segregation technique gives the most mathematically precise cost estimate? a. Scatter diagram method b. Least-squares method c. High-Low method d. Calendar method
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A part is produced in lots of 1,400 units. It is assembled from2 components worth $70 total. The value added in produc-tion (for labor and variable overhead) is $60 per unit, bring-ing total costs per completed unit to $130. The average leadtime for the part is 8 weeks and annual demand is 3,600 units,based on 50 business weeks per year.a. How many units of the part are held, on average, in cycleinventory? What is the dollar value of this inventory?b. How many units of the part are held, on average, in pipe-line inventory? What is the dollar value of this inventory?(Hint: Assume that the typical part in pipeline inventoryis 50 percent completed. Thus, half the labor and variableoverhead cost has been added, bringing the unit cost to$100, or $70 + $60>2).
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Materials Management $12.00 per purchase order Chemical Processing $7.50 per metric ton Molding $24.00 per direct labor hour Packaging $0.10 per unit Engineering designs show that the order will require direct materials that cost $540; direct labor cost will be $90. The order will require four purchas orders to be placed, use two metric tons of chemical base, and need eight direct labor hours. The size of the order is to produce 3,000 units of product. How to calculate the total production of the order?
Zan Azlett and Angela Zesiger have joined forcesto start A&Z Lettuce Products, a processor of packaged shreddedlettuce for institutional use. Zan has years offood-processingexperience,and Angela has extensive commercial food-preparationexperience. The process will consist of opening crates of lettuceand then sorting, washing, slicing, preserving, and finally packagingthe prepared lettuce. Together, with help from vendors, theythink they can adequately estimate demand, fixed costs, revenues,and variable cost per 5-pound bag of lettuce. They think a largelymanual process will have monthly fixed costs of $37,500 and variablecosts of$1.75 per bag. A more mechanized process will havefixed costs of $75,000 per month with variable costs of $1.25 per5-pound bag. They expect to sell the shredded lettuce for $2.50per 5-pound bag.a) What is the break-even quantity for the manual process?b) What is the revenue at the break-even quantity for the manualprocess?c) What is the break-even quantity…
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he Crazy Key Company is getting ready to put a new key chain on the market. The raw materials and labor to make the key chain add up to cost $2 per unit, while the machine used to make them costs $1000. To simplify the situation, let us pretend these are the only sources of costs. With this information, answer the following questions. The amount of unit variable cost for this produc is The amount of total fixed cost for this product is The Crazy Key Company executives are arguing over the price of the key chain. They want you to help make the decision. Based on the information you found above and the information given below, find the unit contribution and total contribution for the three price options. In addition, decide which price is the best option. Price Estimated Sale Units $4.00 1000 units $5.00 700 units $6.00 500 units At the…
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