The conservation practice that sets aside areas to provide sanctuaries for wildlife is called _________

Simon Corporation manufactures hydraulic valves. The product life of a valve is 4 years. Target average profit margin for Simon

Luda [366]

Answer:

Allowable unit cost of a hydraulic valve using the target costing model = 52.4

Explanation:

Given that:

Simon Corporation manufactures hydraulic valves. The product life of a valve is 4 years.

Target average profit margin for Simon 20.00%

The company does not expect the manufacturing cost to vary over the next 4 years

Estimated sales volume and the unit selling price of the valve for the next 4 years is given below:

Year Sales volume (units) Unit selling price

Year 1 40,000 $80.00

Year 2 50,000 $75.00

Year 3 35,000 $50.00

Year 4 25,000 $45.00

The objective is to determine the allowable unit cost of a hydraulic valve using the target costing model.

The Cost for each unit selling price can be calculated as:

= unit selling price - (Target average profit margin × unit selling price)

For Year 1

= $80.00- (0.2 × $80.00)

= $80.00 - $16.00

= $64.00

For Year 2

= $75.00 - ( 0.2 × $75.00)

= $75.00 - ( $15.00)

= $60.00

Year 3

= $50.00 - (0.2× $50.00)

= $50.00 - $10.00

= $40.00

Year 4

= $45.00 - (0.2 × $45.00)

=$45.00 - $9.00

= $36.00

Year Sales volume Unit Cost Cost per Unit

(units) selling price

Year 1 40,000 $80.00 $64.00 $2560000

Year 2 50,000 $75.00 $60.00 $3000000

Year 3 35,000 $50.00 $40.00 $1400000

Year 4 25,000 $45.00 $36.00 $900000

Total: 150000 $7860000

Allowable unit cost = Total cost/Total number of unit cost

Allowable unit cost = $7860000/150000

Allowable unit cost = 52.4

6 0

3 years ago

Suppose that on Valentine's Day, the demand for both roses and greeting cards increases by the same percentage amount. However,

ryzh [129]

Answer:

The correct answer is: the supply of the greeting cards is less elastic than the one of the roses.

Explanation:

To begin with, the elasticity show how much the price and the quantity are related by indicating the variation that happens to one of them when the other changes. Therefore that the supply of the greeting cards is less sensitive to price because when the quantity demanded increased the price did not change as much as the roses due to the fact that the sellers were not encourage as much as the sellers of the roses to produce more and therefore to increase the price of the cards. So to sum up, when the price changed the sellers were not encourage to increase the production of the cards as much as the production of the roses because of its elasticity.

6 0

3 years ago

Which of the following would likely be covered under homeowners insurance but NOT by renter's insurance? AA fire destroys almost

Cloud [144]

D a tree branch breaks your window

5 0

3 years ago

Part of the investigation process for government administrators includes taking notes about conversations and preparing research

iren [92.7K]

Answer:

B

Explanation:

YAN PO I HOPE IT HELPS PO PA BRAINLY NA LNG PO

6 0

2 years ago

When an indian importing firm wants to import u.s.-made products, it must first secure permission and dollars from the reserve b

Kitty [74]

Based on the given scenario above, the type of restriction that is being shown is called CURRENCY DEVALUATION. When there is devaluation in the currency, this would mean that the given currency would have a lesser value as based on an exchanged rate system with reference to foreign currency.

8 0

3 years ago

The conservation practice that sets aside areas to provide sanctuaries for wildlife is called __________.