The wholesale cost of a VCR is $210. The original markup was 27% based on selling price. Find the final sale price after the following series of price changes: a markup of 17%, a markup of 40% and a markup of 8%. (Round each intermediate selling price to the nearest cent.)
Q: 1. Use the first four steps of the decision-making process to generally describe the alternatives…
A: A process of making a clear option on what is the best alternative to make a decision is…
Q: ) A coffee shop sells 6 candy bars a day. After ordering candy bars, it takes 7 days for them to…
A: Here, given information is: Sales of the coffee shop (average sales): 6 candy bars per day Time…
Q: The break-even point is the sales level at which total sales equal total costs, resulting in zero…
A: A break-even is the point at which a company has neither a profit nor a loss.
Q: Five years ago, Arlington Industries expanded vertically by acquiring one of its suppliers, Raddix…
A: Formula for unit contribution margin is, Unit contribution margin = Sales per unit - Total variable…
Q: As an operations management consultant, you have been asked to evaluate a furniture manufacturers…
A: Given information: Sales = $23.5 million Cost of goods sold = $20.8 million Accounts receivable =…
Q: MEGA BRIDGE SDN BHD has been offered by government to construct a bridge. Based on PROJECT X AND…
A: Cost of Project: It is total amount required to finish the project and consists of a Direct Cost…
Q: A manufacturer of Chocolate has a fixed cost of Tk.60000 and variable cost is Tk.7 per produced…
A: The Break-even point is that level of output, beyond which the producer starts earning supernormal…
Q: A local restaurateur who had been running a profitable business for many years, recently purchased a…
A: Given:- Cost of obtaining license=$90,000 Refundable amount of license=$75,000 Spend on…
Q: A machine that produces a certain piece must be turned off by the operator after each piece is…
A: Given:- Machine produces=50,000 pieces Operator earns=$2 Brake require servicing=After 587 hours…
Q: The Aleutian Company produces two products, Rings and Dings. They are manufactured in two…
A: The overhead rate is a cost allocated to the production of a product or service. Overhead costs are…
Q: A company is using break-even analysis to determine how many units of a new product must be sold for…
A: The break-even point in a production process is a level of operations at which the revenue generated…
Q: A firm has an annual demand of S units for a good whose purchase cost is £c per unit. Each order…
A: NOTE: : Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the…
Q: A firm is planning to manufacture a new product. The sales department estimates that the quantity…
A: To maximize profit, that is the income minus the cost to be maximum the condition MR=MC should be…
Q: A company produces an electronic timing switch that is used in consumer and commercial products. The…
A: a)Total cost = Fixed cost + Variable cost = 70,000+80x MC= dTC/dX= 80 TR = p*d=…
Q: The cost of a good in period 0 is £P. If the price index for the good is approximately 1.0 + 0.01n…
A: Price index = 1 + 0.01n
Q: If the property will be immediately
A:
Q: Johnny's company provides a on-call service to provide garden maintenance / tidying services in…
A: Price elasticity of demand is the percentage change in quantity demanded to the percentage change in…
Q: The one-day return to investors who purchase IPO shares at the IPO offer price are ____, and the…
A: An initial public offering refers to a public offering in which shares of a company are sold to…
Q: Suppose that the demand for a product is 8000 unit per year, order cost is 500 $ and the inventory…
A: EOQ: It means the order quantity that minimizes the total holding costs and ordering costs.
Q: You are asked to recommend whether a firm should make or purchase product A. The following are data…
A: Given: A firm buys product A at- $20 per unit The firm pays a weekly rental payment of- $20,000 The…
Q: Discuss the impact of Covid-19 on the profitability of the airline industry – general and low-cost…
A: Here we Discuss the impact of Covid-19 on the profitability of the airline industry – general and…
Q: Six years ago, an 80-kW diesel electric set cost $160,000. The cost index for this class of…
A: The current cost of the oil boiler can be calculated as follows: COld =160,000194187=165,989.304…
Q: A local specialty wine store normally sells an average of 95 imported wines from France - per month…
A: The term “elasticity of demand” is defined as a measure to show the responsiveness of the quantity…
Q: ACME Inc. currently sells a product for $1,100 which results in demand being 2,000 units. Management…
A: Product: It refers to the good and service that consumer purchases for doing variety of activities.…
Q: Many times, the selling price of a product, p, is related to the demand, D, according to the…
A: Total revenue is the multiplication of price and quantity demanded. Total revenue is maximized at a…
Q: Which of the following statements is correct regarding the use of an MRP system? A. Many firms have…
A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…
Q: Michelin is considering going "lights out" in the mixing area of the business that operates 24/7.…
A: Given, Mixing Cost : $600,000 per yearIncome-tax rate : 25%MARR : 10%
Q: If the transit time is 11 days and the annual demand for an item is 10,000 units, whatis the average…
A: Here we are talking about pipeline stock or transit inventory which could be materials or items…
Q: A company operating under a continuous review system has an average demand of 50 units per week for…
A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…
Q: The input-output curve of a gas-fired generating unit is approximated by the following function:…
A: Given an input and output curve of a gas fired function.
Q: In MRP, scheduled receipts are replenishment orders that have been placed but not yet received. True…
A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…
Q: A local specialty wine store normally sells an average of 129 imported wines from France - per month…
A: Price elasticity of demand indicates the responsiveness of quantity demanded to a change in the…
Q: A machine that produces a certain piece must be turned off by the operator after each piece is…
A: Given:- Machine produces=50,000 pieces Operator earns=$5 Brake require servicing=After 520 hours…
Q: You want to establish your own business and are thinking about releasing a new product. Customers…
A: Profit = TR - TC Breakeven occurs if the profit is 0 and TR=TC
Q: A machine that produces a certain piece must be turned off by the operator after each piece is…
A: Without brake; Cycle time= (1min 45sec)+15sec =(60sec+45sec)+15sec…
Q: You are considering opening a copy service in the student union. You estimate your fixed cost at…
A: Given: Total fixed cost = $15000 Price = $0.05 Variable cost = $ 0.01
Q: A local firm sells pairs of pants at P1,514 each. The cost of manufacturing and marketing them is…
A: Given information, Selling price per unit = P1,514 Variable cost per unit = P509 Fixed costs =…
Q: After Hurricane Katrina there was a need to replace outdated hydraulic flood control pumps in New…
A: following are some points to Remain Safe After a Hurricane 1. Avoid floodwater.2. Never utilize a…
Q: Payless Shoe Source sees a 35 per cent increase in sales of its athletic shoes during a 1 week,…
A: Change in demand refers to a situation when there is any effect on demand due to change in any…
Q: one factory manager bought a rare machine for $10 million. It is estimated that the sales value of…
A: To find the economic life out of the following options we will find the annual worth of the rare…
Q: An engineering firm recently conducted a study to determine its benefit and cost structure (total…
A: the marginal cost is the change in the total cost that arises when the quantity produced is…
Q: Which of the following statements about safety stock within an MRP system is NOT correct? A. When…
A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…
Q: ou are asked to recommend whether a firm should make or purchase product A. The following are data…
A: The firm can buy product A at $18per unit let assume that the break-even Quantity is x units If…
Q: Use the information given below to calculate the annual Economic Order Quantity The following…
A: The order amount that minimizes the overall holding costs and ordering expenses is known as the…
Q: X Segment has excess capacity. It produces product X at total product cost of 100 (includes 20 FC).…
A: Given information Excess capacity occurs when a firm is producing before the long-run optimum level.…
Q: The manager of a sole distributorship for a famous brand of automobiles was discussing with the…
A: The demand function addresses the connection between the quantity demanded of a product(dependent…
Q: Rail Tours, Inc., sells packaged tours on rail lines, including gourmet meals and a reserved bed.…
A: Answer - Given in the question- Rail Tours, Inc., sells packaged tours on rail lines, including…
Q: A local restaurateur who had been running a profitable business for many years recently purchased a…
A: Given : The liquor license gives the legal right to the owner to sell wine, beer, spirits in the…
The wholesale cost of a VCR is $210. The original markup was 27% based on selling price. Find the final sale price after the following series of price changes: a markup of 17%, a markup of 40% and a markup of 8%. (Round each intermediate selling price to the nearest cent.)
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
- A company is using break-even analysis to determine how many units of a new product must be sold for the product to be profitable. Which of the following actions will cause the break-even point of a product to increase? a. Reduction in the purchase price of the equipment needed to produce the product b. Reduction in the per unit production cost of the product c. Reduction in the sales price of the product d. All of the answer choices are correct.ABC Company has the following information: Variable Cost per Unit is P 15; Fixed Expenses is P54,000; and Selling Price per Unit is P20. What should be the selling price per unit if break-even point is brought down to 6,000 units? ABC Company has the following information: Variable Cost per Unit is P 15; Fixed Expenses is P54,000; and Selling Price per Unit is P20. If the company will only sell 10,000 units for the month, how much profit or loss will they get?On September 2, 2021, the Malaysian government set a ceiling retail price of RM19.90 for COVID-19 Self-Test Kit, which would take effect on September 5, 2021. Discuss the advantages and disadvantages of the policy.
- Your client, InsureCorp, is an insurance company considering launching an ‘income insurance’ product in the island nation of Autarka. Income insurance is a product that fully insures a household against changes in income caused by a major injury or illness. At present, no businesses are selling income insurance products in Autarka. Initial market research suggests that there are 10,000 households in Autarka interested in purchasing income insurance. Your client expects that the fixed cost of launching the income insurance product will be $20,000,000 per year, and that each policy issued to a customer will cost the company an additional $1,500 in sales commissions. What is the maximum price the company can charge a household for an income insurance policy? What is the expected profit (or loss) for the company if it becomes a monopoly provider of income insurance? Is there a risk that rival insurance companies will also enter the market, selling identical income insurance products? If…The management of First American Bank was concerned about the potential loss that might occur in the event of a physical catastrophe such as a power failure or a fire. The bank estimated that the loss from one of these incidents could be as much as $100 million, including losses due to interrupted service and customer relations. One project the bank is considering is the installation of an emergency power generator at its operations headquarters. The cost of the emergency generator is $800,000, and if it is installed, no losses from this type of incident will be incurred. However, if the generator is not installed, there is a 10% chance that a power outage will occur during the next year. If there is an outage, there is a .05 probability that the resulting losses will be very large, or approximately $80 million in lost earnings. Alternatively, it is estimated that there is a .95 probability of only slight losses of around $1 million. Using decision tree analysis, determine whether the…A local restaurateur who had been running a profitable business for many years, recently purchased a three-way liquor license. This on-premise license gives the owner the legal right to sell beer, wine, and spirits in her restaurant. The cost of obtaining the three-way license was about $90,000, since only 300 such licenses are issued by the state. While the license is transferable, only $75,000 is refundable if the owner chooses not to use the license. After selling alcoholic beverages for about one year, the restaurateur came to the realization that she was losing dining customers and that her profitable restaurant was turning into a noisy, unprofitable bar. Subsequently, she spent about $8,000 placing advertisements in various newspapers and restaurant magazines across the state offering to sell the license for $80,000. After a long wait, she finally received one offer to purchase her license for $77,000. a) Would you recommend that she accept the $77,000 offer? b) The restaurateur…
- Given the following information, how many units must be sold to achieve a profit of $25,000? [Note that the units sold must account for total production costs (direct and overhead) plus desired profit.]A local specialty wine store normally sells an average of 129 imported wines from France - per month - over 6 months at an average of $15.86 each. The price elasticity of Demand for these wines is estimated to be -1.64. Recent government regulations, Canadian Dollar value changes and transportation costs have increased costs considerably resulting in higher breakeven prices for all items. In order to capture economic profits the store manager decides to take some action and re-prices the inventory in the store. If the manager increases the price of French Wines by 10% how many bottles of French Wine will they sell? ** HINT - use the basic formula: Elasticity = (Unknown Q / Change in Price) x (Average Price / Average Quantity sold) ** enter your answer for HOW many bottles of French Wine will be sold FOLLOWED by whether the elasticity value is inelastic or elasWeiss Manufacturing intends to increase capacity by overcoming a bottleneck operation by adding new equipment. Two vendors have presented proposals. The fixed costs are $50,000 for proposal A and $80,000 For proposal B. In addition to the proposed fixed costs from the two vendors, Weiss's management anticipates that they will have to spend $10,000 for installations to be completed. The variable cost is $14.00 for A and $10.00 for B. The revenue generated by each unit is $22.00. a) The break-even point in dollars for the proposal by Vendor A =(round your response to the nearest whole number). b) The break-even point in dollars for the proposal by Vendor B =(round your response to the nearest whole number).
- The manager of a sole distributorship for a famous brand of automobiles was discussing with the assistant manager the planned introduction by mid-year of a new model, the XP-60. It was decided earlier that the price be set at P400,000, at which level the total number of units sold was estimated at 500 units annually. The assistant manager has suggested that the price should be set at a somewhat lower level, say, at P360,000 to attract a major segment of the non-targeted market. At this lower price, 1,000 units are expected to be sold. 1. What is the total revenue (TR) function? 2. What is the marginal revenue (MR) function? 3. What is the marginal revenue at the originally proposed price and at the recommended lower price?The manager of a sole distributorship for a famous brand of automobiles was discussing with the assistant manager the planned introduction by mid-year of a new model, the XP-60. It was decided earlier that the price be set at P400,000, at which level the total number of units sold was estimated at 500 units annually. The assistant manager has suggested that the price should be set at a somewhat lower level, say, at P360,000 to attract a major segment of the non-targeted market. At this lower price, 1,000 units are expected to be sold. 1. Will total revenue increase or decrease as a result of the decision to reduce the price? If so, by how much? a. Increase by P 160M b. Decrease by P 80,000 c. Decrease by P 160M d. Increase by P 80,000 2. Using the concept of elasticity, how much is the price of the product that will yield the highest total revenue? 3. Using the concept of elasticity, how many units of the product must the firm sell to maximize its total…The manager of a sole distributorship for a famous brand of automobiles was discussing with the assistant manager the planned introduction by mid-year of a new model, the XP-60. It was decided earlier that the price be set at P400,000, at which level the total number of units sold was estimated at 500 units annually. The assistant manager has suggested that the price should be set at a somewhat lower level, say, at P360,000 to attract a major segment of the non-targeted market. At this lower price, 1,000 units are expected to be sold. What is the firm’s price function of demand for the product given the estimates and projections made?