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WINSTONCH [101]
3 years ago
15

When Bread and Butter Bakers got the newest batch of flour, they noticed a price increase of $1.00 per pound of flour (double th

eir old price!). Bread and Butter plans to use 10,000 pounds of flour per month at a price of $2.00 per pound with an additional variable expense per loaf of $1.50. Their fixed costs are $13,500 per month and they hope to sell 10,000 loaves of bread at $6.00 per loaf. If they meet their sales goal what is their net profit per mont?
Business
1 answer:
Marrrta [24]3 years ago
6 0

Answer:

If Bread and Butter Bakers meet their sales goal, their net profit per month is $11,500

Explanation:

Bread and Butter plans to use 10,000 pounds of flour per month at a price of $2.00 per pound with an additional variable expense per loaf of $1.50. They hope to sell 10,000 loaves of bread.

Total variable expense = 10,000 x $2.00 + 10,000 x $1.50 = $35,000

Total sales = 10,000 x $6.00 = $60,000

Net profit = Total sales - Total variable expense - fixed costs = $60,000 - $35,000 - $13,500 = $11,500

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4 0
3 years ago
Jones Lumber Co. has annual fixed costs including depreciation of $300,000 and variable costs that are 88.25 percent of sales. W
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Answer:

$2,553,191

Explanation:

The formula to compute the break even point in dollars amount is presented below:

= (Fixed cost ) ÷ (Profit volume ratio)

where,  

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We assume the sales be 100%

So, the variable cost is

= 88.25%

And, the contribution margin is

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So, the break even sales would be

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= $2,553,191

7 0
3 years ago
Jamal, the HR Director for a growing marketing firm, announces that the firm is planning to implement the integrated talent mana
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c.

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Primary data are always in a state of nature.  Primary data are collected by Roland before analysis are from first-hand or primary sources.  For Roland to acquire the data, he must use primary research methods like surveys, interviews, or experiments. Because primary data are acquired with the research project in mind and directly from primary sources, they are contrasted with secondary data.  Secondary data were acquired by some other researchers and used in their analyses before being collected by another researcher as a basis for research continuation.

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