All categories

3 years ago

The section of Waterways that produces controllers for the company provided the following information.

Business

1 answer:

stepladder [879]3 years ago

8 0

Answer:

Instructiond are listed below.

Explanation:

Giving the following information:

Sales for the month of February 3,800

Variable manufacturing cost per unit $9.00

Sales price per unit $46.00

Fixed manufacturing overhead cost (per month for controllers) $82,000

Variable selling and administrative expenses per unit $4.80

Fixed selling and administrative expenses (per month for controllers) $13,130

A) contribution margin ratio = (selling price - unitary variable cost)/selling price

ontribution margin ratio = (46 - 13.8)/46= 0.7

B) degree of operating level= contribution margin/ EBIT

EBIT= sales - variable costs - fixed costs= (46-13.8)*3,800 - 82,000 - 13,130= 27,230

degree of operating level= 32.2/27230= 0.0012= 0.12%

C) Break-even point (dollars)= fixed costs/ contribution margin ratio

Break-even point (dollars)= 95,130/0,7= $135,900

D) Margin of safety ratio= (current sales level - break-even point)/current sales level

Margin of safety ratio= (3,800 - 2,954)/3,800= 0.22= 22%

You might be interested in

What is an example of a problem in the world today, not mentioned in the chapter, that has an economic dimension?

mr_godi [17]

Answer:

There are many of those problems. One of them is immigration. Naturally, there is a cost to receive thousands of people. The demographic figures are altered and as a consequence the labor fan grows, but the data shows that, although in the medium term the clearest results are seen, in a single year progress is also observed.

7 0

3 years ago

In response to the u.s. income distribution trend toward ________, levi-strauss introduced premium levi's capital e line to upsc

shtirl [24]

In response to the US income distribution trend towards LOW AND HIGH INCOME, Levi Strauss introduced ........................
Levi Strauss introduce two different products, one for the high income class and the other for the low income class, thus ensuring that he serves the people in both groups.

8 0

2 years ago

Simon Peters, a senior manager at Celise Export Logistics, goes to France to negotiate a deal with the company's French partners

anyanavicka [17]

In this scenario, dressing formally during business meetings is probably a cultural imperative for the French

Explanation:

Cultural imperatives are traditions that you have to comply with when you want to succeed.

Relationship building is an example of a cultural imperatives .

Business understands the importance of building a relationship in many Asian countries such as China and Japan and Latin America.

Businessmen are not doing company business, they are doing business with people. It is a cultural necessity to spend time developing this relationship in these countries before you start up your business. Always underestimate your business partners ' value in building trust. It makes or breaks an agreement. Among Asian countries, another moral necessity is to make no one lose face. Never raise your voice or publicly threaten anyone. You will struggle in your company if you are ignorant of these cultural imperatives.

8 0

3 years ago

Why is it important for the balance of payments to balance?

Rudiy27

Answer:

A country's balance of payments tells you whether it saves enough to pay for its imports. ... A balance of payments deficit means the country imports more goods, services and capital than it exports. It must borrow from other countries to pay for its imports. In the short-term, that fuels the country's economic growth.

5 0

2 years ago

Dan Jacobs, production manager for GreenLife, invested in computer-controlled production machinery last year. He purchased th

gayaneshka [121]

Answer:

The pertinent focuses for Dan Jacobs choice are referenced beneath.

The new hardware would cost GreenLife $4,500,000
The new hardware would twofold the creation yield of the old apparatus

The expense of new hardware and the expansion in the creation yield by 100% are the future expenses and incomes and thus they are significant for dynamic.

The old apparatus is bought previously. Consequently, the price tag of the old apparatus is immaterial for dynamic procedure. Tho director ought to consider the resale estimation of old apparatus in the dynamic. Tho resale estimation of old apparatus ought to be deducted from the expense of new hardware so as to ascertain the net money surge to buy the new apparatus.

The director ought to set up an expense and advantage examination or ascertain NPV (net present estimation) of the venture (capital planning investigation) to introduce it before the leader of the organization. The extra costs identified with extra creation ought to likewise be thought of. This investigation would support the supervisor and the president in dissecting that whether they should buy the new machine or not.

4 0

2 years ago