Yamaha company sells auto parts. One of auto part has selling price for $110. Yamaha company buys this part from Toyota, which costs Yamaha $80 dollars. Yamaha on average sells 40 units of this part every month. For a company to earn a profit (profit is not equal to zero), what is the highest possible fixed costs for each month?

Yamaha company sells auto parts. One of auto part has selling price for $110. Yamaha company buys this part from Toyota, which costs Yamaha $80 dollars. Yamaha on average sells 40 units of this part every month. For a company to earn a profit (profit is not equal to zero), what is the highest possible fixed costs for each month?

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter8: Evolutionary Solver: An Alternative Optimization Procedure

Section8.7: Portfolio Optimization

Problem 13P

See similar textbooks

Similar questions

a. Knowing that price competition is very fierce in this market, is firms’ choices of maximumdifferentiation optimal? b. Imagine that entry in this market became easy and, as a consequence, many firms enteredwith ice creams with intermediate levels of smoothness between Ben&Jerry’s and Haagen-Dazs.How could you represent this situation and how will it affect prices and profits as more firmsentered? How would you expect the level of advertising to change ifentry took place in this market.b. Both firms advertise heavily to consumers. What do you think that is the effect of advertisingon competition in this market? Based on what you know about this market and the type of product, which type of advertising would you expect the firms to mostly engage in?
You are advising a coffee shop manager whowants to estimate how much sales will change ifthe price of a latte rises. Explain why he shouldmeasure elasticity in percentage terms rather thanin terms of dollars and cups
As part of the employment interview for an accounting job at Sound Design, you have been asked to answer the questions below, based on an invoice from one of Sound Design's vendors, Target Electronic Wholesalers. Invoice Stock # Description Unit Price Amount 4811V Stereo Receivers 50 ✕ $293.50 = _______________________ 511CX Blu-Ray Players 25 ✕ $136.28 = _______________________ 6146M Home Theater Systems 40 ✕ $656.12 = _______________________ 1031A LCD TVs 20 ✕ $594.00 = _______________________ Merchandise Total _______________________ Insurance + Shipping $1,250.00 Invoice Total _______________________ An invoice. The top of the invoice is divided into several distinct sections. The first section is located in the top left of the invoice, is unlabeled, and contains an image of a target with an arrow in the center of the target. The second section is located in the top center of the invoice, is unlabeled,…
If a product sells for $20, variable costs are $8 and fixed costs are $300,000, what would total sales have to be in order to breakeven?
Kai is perplexed by the manufacturer’s invoice, which specifies the product’s negotiated price of $100,000 plus a discount of 3/10 net 30. You explain that if your company pays the invoice within 10 days, it will only have to pay a. $103,000 b. $92,000 c. $70,000 d. $100,000 e. $97,000 Component parts are an example of a firm's costs. a. breakeven b. fixed c. operating d. variable e. selling Greta has an idea for a new product. She wants to market outdoor holiday LED lights that can change their colors so that consumers can hang them outside year-round and alter the colors of the lights to match the season: multicolor for Christmas or blue and white for Hanukkah, orange and black for Halloween, and pastel colors for Easter. Because she wants such a product herself, she believes that others will want such a product as well. She thinks she has the financial resources to develop and market the product. In order to develop the product, what should her next step be? a. Technical…
Company X produces a product, GlueX3, that Company X sales for $5. An opportunity presents itself to reallocate its manufacturing facility and related resources to produce Epoxy10. It believes it can sell Epoxy10 for $8. Explain how this switch creates “value”. Be sure to include for whom.
AutoTime, a manufacturer of electronic digital timers, has a monthly fixed cost of $50,000 and a production cost of $7 for each timer manufactured. The timers sell for $15 each. (a) What is the cost function C(x)?C(x) = (b) What is the revenue function R(x)?R(x) = (c) What is the profit function P(x)?P(x) = (d) Compute the profit (loss) corresponding to production levels of 3000, 6000, and 11,000 timers, respectively. (Input a negative value to indicate a loss.) 3000 timers $ 6000 timers $ 11,000 timers $
Your company makes hand sanitizer in two lines: Moisturizing+, and StandardSoap. On the market, Moisturizing+ retails for $175/L and StandardSoap retails for $95/L. You make the hand sanitizer by combining lotion, soap, and secret ingredient SpecialX. These ingredients are purchased from a mysterious supplier, and you can purchase at most 4000L of lotion, 5000L of soap, and 750L of SpecialX in a month. Lotion costs $25/L, soap costs $10/L, and SpecialX costs $35/L. To make 1L of Moisturizing+, you need to combine 0.5L of lotion, 0.3L of soap, and 0.2L of SpecialX. To make 1L of StandardSoap, you need to combine 0.4L of lotion, 0.55L of soap, and 0.05L of SpecialX. Your company has committed to donating 500L of StandardSoap to a local charity. Since this is a donation, you will not receive any revenue. However, the costs and purchasing limits apply to both the hand sanitizer that is sold on the market and donated to charity. You want to maximize your monthly profit. Assume that…
The sales value at splitof method: a. allocates joint costs to joint products on the basis of the relative total sales value at the splitof point b. allocates joint costs to joint products in a way that each product has an identical gross-margin percentage c. allocates joint costs to joint products on the basis of a comparable physical measure at the splitof point d. allocates joint costs to joint products on the basis of relative NRV
According to Hunt et al. (2024), many businesspeople often think of Customer Relationship Management (CRM) as somewhere customers' data is stored. The author further attested that CRM does more than storing customers' information, as it provides key value to salespeople, especially when it comes to instant access to customer historical pricing data. Expand on this statement and based on the chapter readings discuss three (3) CRM tools that can assist salespeople in their efforts to determine who are their most profitable customers and allowing them the ability to decrease acquisition costs.
If the Super Bowl 2012 had a 40.5% rating and you ran your ad two times, first one during the first half and second times during the second half. However, it is estimated that 1/3 of the viewers do not watch the second half and new 1/3 of the viewers start watching the game in the second half. Then GRP would be equal to ____ A.81 B.40,5 C.54 D.2 E.none of the above
Imagine you are an analyst working for the Super Store Corporation. Your boss Sylvia is the VP of Sales and she is conducting a review of the company discount policy. As research for her review, she has asked you to perform an exploratory analysis of the Super Store discount data. Specifically, Sylvia has asked you to investigate if there is a relationship between discounted sales and profit, and how much the company is profiting or losing based on discounted sales. She also wants to see if there are opportunities for efficiencies with respect to how discounts are handled. Perhaps certain customers are receiving more discounts than other customers. Perhaps certain product categories or product segments are receiving more discounts than others. Sylvia has given you wide latitude to explore this question however you see fit, and will ultimately make a recommendation to the board of directors based on your findings. Sylvia will have only 5-7 minutes to present to board members, and…