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zalisa [80]
3 years ago
8

The company has an opportunity to sell 20,000 additional units at $13 per unit. The additional sales would not affect its curren

t expected sales. Direct materials and labor costs per unit would be the same for the additional units as they are for the regular units. However, the additional volume would create the following incremental costs: (1) total overhead would increase by 15% and (2) administrative expenses would increase by $86,000.
Calculate the combined total net income if the company accepts the offer to sell additional units at the reduced price of $13 per unit.

Business
1 answer:
fiasKO [112]3 years ago
3 0

Answer:

$810,000

Explanation:

incremental revenues = 20,000 x $13 = $260,000

incremental direct materials costs = 20,000 x $2 = ($40,000)

incremental direct labor costs = 20,000 x $4 = ($80,000)

additional overhead costs = $200,000 x 15% = ($30,000)

additional administrative expenses = ($86,000)

incremental net income = $24,000

combined net income = incremental net income + regular net income = $24,000 + $786,000 = $810,000

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The Pampered Pet Shop operates in a perfectly competitive industry and hires you as an economic consultant. The firm is currentl
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Answer:

c. cease production immediately, because it is incurring a loss.

Explanation:

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5 0
2 years ago
Read 2 more answers
Beans Coffee & Cocoa Company makes and sells a chocolate flavored coffee drink under the name "CoCoCafe." Darkroast Java, In
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<u>Full question:</u>

Coffee & Cocoa Company makes and sells a chocolate-flavored coffee drink under the name "CoCoCafe." Darkroast Java, Inc., later markets a similar tasting drink under the name "KoKoKafe."

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a. copyright infringement.

b. patent infringement.

c. trademark infringement.

d. a theft of trade secrets.

<u>Answer:</u>

This is most likely:  trademark infringement.

<u>Explanation:</u>

Trademark infringement is described as the illegal practice of a trademark or service impression. This exercise can be in contact with goods or services and may commence to distraction, fraud, or a disagreement about the original company a commodity or service developed from.

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3 years ago
Managers at Umbrella Corporation, a firm in East Asia, want to make their company a global leader in business process outsourcin
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The should the Umbrella managers look for as they decide where to locate their BPO facilities is an abundance of well-educated English speakers.

<h3>What does well educated mean?</h3>

The term simply implies that a  person of this kind of nature  has a lot of knowledge about a lot of subjects, usually due to the fact that they have studied at college or university.

The speakers and writers of English who have been educated are known to be very verse in English and should be the one employed by this firm.

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Multiple Choice

large, undeveloped plots of land for greenfield projects

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8 0
1 year ago
Orion would like to go on a trip to Ireland in two years. He wants to have $3,000 for the trip, so he is planning to invest mone
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Answer:

The answer is: If Orion wants to have $3,000 in two years, he must invest $2,572.02 today

Explanation:

To determine how much money Orion has to invest today in order to have $3,000 in two years, considering he will get an 8% compound interest rate, we can use this formula:

P = FV / (1 + r)²    

Where:

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P = $3,000 / (1 + 8%)²

P = $3,000 / 1.1664

P = $2,572.02

4 0
3 years ago
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