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satela [25.4K]
3 years ago
11

A product is currently made in a process-focused shop where fixed costs are $10,000 per year, and variable cost is $50 per unit.

The firm sells the product for $250 per unit. What is the break-even point for this operation?
20 units
30 units
60 units
50 units
Business
1 answer:
Goryan [66]3 years ago
7 0

Answer:

Break even point will be 50 units

So option (D) will be correct answer

Explanation:

We have given fixed cost = $10000 per year

Variable cost is $50 per unit

Selling price = $250 per unit

We have to find the break even point for the operation

We know that break even point is equal to

Break even point =\frac{fixed\ cost}{selling\ price-variable \ cost}=\frac{10000}{250-50}=\frac{10000}{200}=50unit

So break even point will be equal to 50 units

So option (D) will be correct answer

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Maritime Marine Company has total estimated factory overhead for the year of $986,800, divided into four activities: fabrication
Hatshy [7]

Answer:

Instructions are below.

Explanation:

Giving the following information:

Estimated costs:

fabrication= $386,400

assembly= $207,900

setup= $112,000

inspection= $280,500.

Fabrication Assembly Setup Inspection

Speedboat: 1,200 dlh 1,800 dlh 60 setups 600 inspections

Bass boat: 1,800 1,200 100 200

3,000 dlh 3,000 dlh 160 setups 800 inspections

First, we need to calculate the overhead rate for each activity:

Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

fabrication= 386,400/3,000= $128.8 per direct labor hour

assembly= 207,900/3,000= $69.3 per direct labor hour

setup= 112,000/160= $700 per setup

inspection= 280,500/800= $350.63 per inspection

Now, we can allocate overhead to each product:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Speedboat= 1,200*128.8 + 1,800*69.3 + 60*700 + 600*350.63

Speedboat= $531,678

Bass boat= 1,800* 128.8 + 1,200*69.3 + 100*700 + 200*350.63

Bass boat= 455,126

5 0
3 years ago
Garcia Industries has sales of $176,500 and accounts receivable of $18,500. The industry average DSO is 27 days, based on a 365-
Brilliant_brown [7]

Answer: 176,500 = 372,879

Explanation:

5 0
3 years ago
Cash and Carry is a store that carries food, clothing, and household goods at lower price margins than other nearby stores. Ther
bagirrra123 [75]

Answer: Discount store

Explanation: As the name suggests, discount store is the store in which the prices of general products are lower than other retail shops.

            These stores makes it possible to provide such discounts by purchasing in bulk from the intermediary, or direct purchase from the producer or by cutting the cost of other services provided.

So, from the above we can conclude that cash and carry is a discount store.

7 0
3 years ago
Karen has been a buyer for Ocean Mist, a large cranberry processor, for several years. Believing that she knows a great deal abo
Ganezh [65]

Answer:

The answer is letter C, Broker.

Explanation:

In order to know whether Karen's company is a broker. It would be best to define what "Broker" is.

In business, <em>"broker" is defined as a person or a company who acts as a mediator between a buyer and a seller. As an agent, the broker gets commission in every business transaction. He can also represents himself as the buyer or the seller. At this point, he also gets a certain commission. </em>In the situation above, Karen arranges the transaction between the growers and processors of cranberries. At this point, she is acting as a seller and a buyer. She does this on behalf of the other firms. Thus, the answer is letter C, Broker.

<u>Additional Information</u>

Sales Agent- a self-employed salesperson who usually works alone. He obtains orders for companies and receives commission on those orders.

Commission Merchant- a person who buys and sells products. He receives commission for the sales price.

Sales Branch- an independent business which purchases merchandise in bulk from manufacturers. He then processes it and redistributes it to retailers.

Sales Office- this is a location that is used for the purpose of selling. It is often leased.

6 0
3 years ago
Can I have a short 150 words paragraph about following?
hichkok12 [17]

Answer:

Explanation:

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Using GDP for finding social welfare it tells whether the country standard of living is increasing or not but it will not tell specially abpab poor and middle class. Any country standard of living goes up only if the poverty in the country eradicate. Thus GDP have a short coming of not finding the true social welfare or standard of living which is in the society.

There is nothing we can do to find the exact condition of society but government can implement policies to provide a better living for people who are in poverty.

5 0
3 years ago
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