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
zhannawk [14.2K]
3 years ago
13

The Great Fish Taco Corporation currently has fixed operating costs of $15,000​, sells its​ pre-made tacos for $6.00 per​ box, a

nd incurs variable operating costs of $2.50 per box.
If the firm has a potential investment that would simultaneously raise its fixed costs to $16,500 and allow it to charge a​ per-box sale price of $6.50 due to​ better-textured tacos, what will the impact be on its operating breakeven point in​ boxes?
Business
1 answer:
Makovka662 [10]3 years ago
3 0

Answer: The Break-Even Point will reduce from $4,285.71 to $4,125

Explanation:

To get the Break-Even Point we can divide Fixed Assets by the Contribution margin.

The Contribution Margin is the Selling Price minus the Variable Cost.

For Scenario 1 the Break-Even Point will be,

= 15,000 / ( 6 - 2.50)

= $4,285.71

For Scenario 2 the Break-Even Point is,

= 16,500 / 6.5 -2.5

= $4,125

The Break-Even Point for Scenario 2 means that even though the higher Fixed Costs could have led to a higher Break-Even Point, the higher price contributed more than the fixed costs did and led to an ultimately lower Break-Even Point than the first Scenario.

You might be interested in
Barney bought a small retail business a month ago. He plans to advertise it with the help of billboards and flyers to attract cu
disa [49]

Answer:

The answer is A. non-operating expense

Explanation:

As he operates a retail shop, such advertising is vital to attract customers to the shops and to make potential sales. We can't treat this expenses as administration or production expenses.

We consider this as non operational because advertising is not an operational part of the operations of a retail business. Moreover, we can't consider it as selling expenses because they are mostly incurred during the sales process.

6 0
3 years ago
Gloria thinks that she is paid less than other workers in her division and feels extremely resentful. She starts taking long bre
Pachacha [2.7K]

Answer:

D) distributive

Explanation:

The salary is not distributed as required as per Jackie so this is perceiving distributive justice.

8 0
3 years ago
The five-dollar Burger Joint gift card that your friend gave you for your birthday expires today. You can either use the gift ca
Radda [10]

Answer:

Opportunity cost is the benefit that is foregone for an individual by choosing one alternative over other alternatives available to him.

If the opportunity cost is lower for an individual then this will benefit him whereas if the opportunity cost is higher then this will not benefit the individuals.

We know that if a person stay at home and eat delicious home-cooked then he must use some ingredients to cook food.

Therefore, the opportunity cost of eating the home-cooked meal is five-dollar Burger Joint gift card and the value of ingredients that are use in the home-cooked food.

4 0
3 years ago
A noncomissioned employee in a company, your pay rate is based on
ipn [44]
<span>if you are an employee who is not working on a commission basis, then most likely, you are working as a salary based employee. Your salary would usually be based on your going rate or your market value to the employers. Based on your caliber, the employers will decide what your salary would be. For example, if you are a fresh grad, you will start with an entry level salary while if you are a manager, you will obviously be receiving a higher salary.</span>
5 0
3 years ago
To build a business for the future requires the ability to think in abstract terms and to see "the big picture" to keep everyone
Dimas [21]

Answer:

The correct answer is E. Conceptual skills .

Explanation:

Conceptual skills are highly valued from the management perspective. People with a certain degree of responsibility within an organization are frequently exposed to very complex dilemmas that are not easy to address.

We could define conceptual skills as the ability to think creatively, analyze and understand complicated and abstract ideas. They are skills that allow an individual to understand complex situations to develop creative and successful solutions. They are skills that are not taught or learned, but manifest in real situations as part of creative thinking.

5 0
3 years ago
Other questions:
  • Players will be issued what color cards for fouls, depending on the seriousness of the penalty.
    10·1 answer
  • Goods a company acquires to use in making products are called:
    14·1 answer
  • Steven, who is Wesley's guardian, convinces Wesley to buy a certain parcel of land owned by Steven's brother-in-law at a price g
    11·1 answer
  • Which is an example of exploitation?
    11·1 answer
  • Perez Company manufactures two products. The budgeted per-unit contribution margin for each product follows: Super Supreme Sales
    9·1 answer
  • One explanation for greater economic development in moderate versus tropical climates is that institutions established by coloni
    9·1 answer
  • Where does the money you pay for the FICA tax on your paycheck go?
    14·1 answer
  • On January​ 1, 2018, Wonderland Sales issued $28,000 in bonds for $20,300. These are eight−year bonds with a stated interest rat
    12·1 answer
  • Will the right to the child help in the development of the children explain with example​
    15·1 answer
  • Harold is part of a human resources team researching a cafeteria benefits program for his company. Once their research is comple
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!