1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
bija089 [108]
3 years ago
8

Olden Company has provided the following information for this month: Sales Price $50 per unit Variable COGS $13 per unit Fixed C

OGS $11,000 per month Variable Selling and Administration $2 per unit Fixed Selling and Administration $3,000 per month If market pressure forces Olden to cut its sales price from $50 to $35, what is the new break-even in units?
Business
1 answer:
Pie3 years ago
7 0

Answer:

700 units

Explanation:

The breakeven point is also known as the BEP. The BEP  is the number of units a company must sell for sales or revenue generated is equal to the cost incurred. As such, the BEP is the number of units that must be sold for the company to make neither a profit nor a loss.

Both sales and variable cost are dependent on the number of units sold.

The sales less the variable cost gives the contribution margin. The contribution margin less the fixed cost gives the net operating income.

Let the BEP units be T

35T = 11,000 + 3000 + T(13 + 2)

35T - 15T = 14,0000

20T = 14,000

T = 700

The company's new breakeven in units is 700 units

You might be interested in
Will today's second generation of immigrants move up the occupational ladder?
Ket [755]
No not if Donald Trump becomes president he is sending all imagrants back and he wants all white schools so
7 0
3 years ago
The concept of market efficiency underpins almost all financial theory and decision models. When financial markets are efficient
OverLord2011 [107]

Answer:

Equal to

Explanation:

Financial theory assumes that financial markets are efficient and that there is no information failure in conducting financial transactions. However, this is an assumption and there could, in some instances, be asymmetric information in the form of adverse selection and moral hazards. For example, if managers of a corporation know how well or how poorly their business is doing than stockholders (as organizational performance determines the price of a security), then there would be an information failure or informational inefficency. Also, a potential investor who cannot distinguish between a firm whose security has a high potential for profit and low risks compared to that with a low potential for profit and high risk will be willing to pay a price that lies between the value of stock from bad firms and the value of stock from good firms. This will not augur well for good firms as their stock is underpriced and they will be reluctant to sell.

When the financial market is efficient, investors of stock would be able to earn supernormal returns on their investments. It is therefore neccessary that the price of a corporation's common stock should be equal to the present value estimate of the firm's expected cash flows discounted by it appropriate rate of return.

6 0
3 years ago
The following data apply to keefin booni company (million of dollars)
777dan777 [17]
The correct answer is BOE *]
4 0
2 years ago
Video news releases are ______. Group of answer choices None of the above options is correct produced by PR agencies and compani
VLD [36.1K]

Answer:

produced by PR agencies and companies for use in TV newscasts.

Explanation:

Public relations involves the process of professionally maintaining and sustaining a favourable public perception and image by an organization or an elite.

It is a strategic communication process used by PR managers to issue and disseminate quality informations between their principal (usually an individual) or an organization and the public, in order to build a mutualistic relationship and boost their level of sales.

Public relations is a marketing tool that combine news covered by the media which are often not a directly paid for medium and is typically used to influence, inform and persuade the consumer to purchase a product.

A video news releases is a segment or portion of a video that's produced to have similarities with news report and are sent to media houses.

On a related note, video news releases are produced by public relations (PR) agencies and companies for use in TV newscasts.

5 0
3 years ago
Which of the following is a condition in the general environment that if exploited effectively helps a company reaches strategic
valentina_108 [34]

Answer:

The correct answer to the following question will be "Opportunity".

Explanation:

  • A market opportunity to sell or contract any commodity, facility, facilities, etc. that will allow the buyer-licensee to set up a business.
  • The licensor of a marketing opportunity usually announces that he or she will protect or support the purchaser in finding a suitable destination or deliver the commodity to the cardholder-licensee.

Therefore, Opportunity is the right answer.

5 0
3 years ago
Other questions:
  • As a financial manager for a very profitable manufacturer of specialty steel, Kurt has been asked to investigate sources of long
    11·1 answer
  • Which nims management characteristic refers to the personal request it through appropriate authorities and established resource
    15·1 answer
  • The statement of owner’s equity contains the
    11·2 answers
  • The _______ describes the personal requirements you expect from an employee and can include educational requirements and special
    5·2 answers
  • Rate us 1 to 10!!!!!!!!
    14·2 answers
  • On December 10, 2020, Jennings, Inc. paid out total dividends of $350,000 (this was the only dividend payment made during the ye
    8·1 answer
  • In what way would the climate in the shaded area impact that region of South America?
    5·2 answers
  • The risk-free rate of return is 9.0%, the expected rate of return on the market portfolio is 14%, and the stock of Xyrong Corpor
    7·1 answer
  • The growth of industry is related to the growth of immigration in the late 19th century because:
    7·1 answer
  • On a linear demand curve, if the price is low and the quantity demanded is high, demand is _____ in that region and a price incr
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!