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mezya [45]
3 years ago
10

Camino’s cost of goods sold and operating expenses are 80 percent variable and 20 percent fixed. Camino has received an offer fr

om a professional wrestling association to design a coffee cup endorsed by its biggest star and produce 20,000 cups to sell them for $8 each (total $160,000). These cups would be sold at wrestling matches throughout the United States. Acceptance of the order would require a $60,000 endorsement fee to the wrestling star, but no other increases in fixed expenses. Required: 1. How much would Camino's Net Operating Income
Business
1 answer:
aniked [119]3 years ago
7 0

Answer: -$140000

Explanation:

Total operating expenses, = fixed costs + variable cost

Fixed cost is 20% = $60000

Variable cost is 80%

Therefore Total Operating expenses is $300000

When we subtract the total operating expenses (300000) from the total revenue (160000) , we get -140000.

Camino's is having a net operating loss of $140000. To make profit, they need to sell above 37500 cups

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6 0
2 years ago
Assume labor is the only variable input and that an additional input of labor increases total output from 72 to 80 units. if the
cluponka [151]

Considering that labor is the only variable input and an additional input increases from 72 to 80 units with the product costs of $6 per unit in a purely competitive market, then the mrp of the additional worker is $48.

Solution: (80 x $6) – (72 x $6) = $48

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3 years ago
A market maker who acts as a dealer in one or more securities on the floor of the nyse is called a:
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The answer is Specialist.

The brainest answer would be appreciated.
4 0
3 years ago
Paul, a manager at a logistics company. Wants to have Emma, a temporary worker, handle customers’ queries. Paul’s colleague. Ali
andrew11 [14]

Answer:

5. Emma may not be as dedicated to the firm as other permanent employees

Explanation:

Logistics as a business activity is concerned with efficient movement of goods with least pilferage and spoilage and at the same time, as promptly as possible.

Handling customer queries requires utmost politeness, patience and humility and such a function is very sensitive since a small error or wrong attitude can drastically affect customer preferences and business sales.

In the given case, Ali's argument can only be strengthened by the fact that Emma is a temporary employee and it cannot be expected of her to discharge her duties with the same dedication as a permanent employee would.

Temporary employees know their term of employment beyond which they most likely seek job elsewhere. Whereas, a permanent employee would usually be more dedicated since he would have better sense of belongingness with the company.

5 0
3 years ago
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Answer:

use-and-file rating law

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