Answer:
32,500 units must be sold to realize an operating income of $250,000.
Explanation:
a) Calculations:
Using the break-even plus target profit analysis, we can calculate the target quantity of sales that will generate a target profit.
To break-even, the company needs to sell the following quantity,
Break-even point = fixed costs/contribution margin per unit = $400,000/$20 = 20,000 units.
To achieve a target profit, the company needs to sell the following quantity,
Break-even with target profit = (Fixed cost + target profit)/contribution margin per unit = ($400,000 + 250,000) / $20 = $650,000/$20 = 32,500 units.
b) Break-even analysis is a managerial accounting technique for determining the units should a company can sell or produce in order to even revenue and costs. From the analysis, a company can also determine the units to sell in order to realize a target profit. This helps a lot in decision making.
Business ethics will never tell you exactly what to do in all decisions. The study of business ethics is designed to help you understand the importance of your decisions, inform you of impacts, describe the ethical decision-making process, and help you recognize ethical issues, but it will not tell you what to do. It will simply give you the tools necessary to make a decision.
Answer: Which of the following is not one of the three most common core ERP components focusing on internal operations? C. Business Intelligence
Explanation: The core ERP components are Accounting and Finance, Production and Materials Management, and Human Resources. The ERP components help a business focus on internal operations and how to be productive in maintaining them.
It means that excess demand in resource markets will lead to higher resource prices, which will increase costs and direct the economy toward full employment.
Explanation:
An economy’s full employment output is the highest production level when all available resources are used efficiently. It equals the highest level of production an economy can sustain for the long-run. It is also referred to as the full employment production which results in long term supply of the finished good.
When there is increased demand then eventually there will be an increase in the price and also costs of the production which leads the economy towards the full employment output as it is a sustainable output.
