Answer:
Instructions are below.
Explanation:
Giving the following information:
Total fixed costs= 300,000
Total costs= $450,000
Units= 120,000
A) Unitary variable cost= 150,000/120,000= $1.25
B) Units= 75,000
<u>The fixed costs remain constant no matter how many units are made (between relevant ranges).</u>
Total fixed costs= $300,000
C) UNits= 160,000
Total variable costs= 1.25*160,000= $200,000
D) Units= 180,000
Total fixed costs= 300,000
Total variable costs= 1.25*180,0000= 225,000
Total costs= $525,000
Answer:
1. The price of a beignet is $3.00 in 2011 and Maria's wage is $27.00 per hour in 2011.
2. The price of a paperback novel is 3 beignets in 2011 and Maria's wage is 9 beignets per hour in 2011.
3. 3 Beignets
4. increases and remains the same
Explanation:
1. Nominal value is the value of a product based on the money of the day that we see. The price of a beignet is $3.00 in 2011 and Maria's wage is $27.00 per hour in 2011 are the values of the product and wage quoting the money of the day.
2. The real value of a varaible is the value in terms of the value of some other goods. In this case Paperback and Maria's wage are valued in terms of beignets.
3. The relative price of paperback is valued in terms of beignets. So if a beignet costs $6 and a paperback novel is $18. The relative price of a paperback novel will be three times the cost of beignet, since a beignet costs $6.
4. Between 2011 and 2016, the nominal value of Maria's wage increases and the real value of her wage remains the same.
Answer:
The most likely factor that this department store company would have considered in discontinuing its credit card operations is the issue of bad debt.
Bad debt may likely have prevented them from making the required profit to cater for the needs of the company such as payment of salaries and purchase of goods which if not treated may lead to the collapse of the company.
This shift in demand was likely the result of the improved technology of MP3 players.
Improved technology brought improved quality of MP3 players, which meant that more people were interested in buying them. MP3 players are far more convenient than CD players, because they are smaller, more easily portable, and overall better.
Answer:
Break-even point in units= 1,500
Explanation:
Giving the following information:
Selling price= $600
Unitary variable cost= $420
Fixed cost= $270,000
<u>To calculate the break-even point in units, we need to use the following formula:</u>
Break-even point in units= fixed costs/ contribution margin per unit
Break-even point in units= 270,000 / (600 - 420)
Break-even point in units= 1,500
