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Verdich [7]
3 years ago
9

The following is cost information for the Creamy Crisp Donut Company:

Business
1 answer:
SCORPION-xisa [38]3 years ago
5 0

Answer:

Given:

Annual lease = $22000

Annual revenue = $380000

Payments = $120000

Utilities = $8000

Value (entrepreneur's talent ) = $80000

Forgone Entrepreneur's interest = $6000

Therefore, we'll first compute the accounting profit using the following formula :

<em>Accounting profit = Annual revenue - Annual lease - Payments - Utilities </em>

<em>Accounting profit = 380000 - 22000 - 120000 - 8000 </em>

<em>Accounting profit =$230000 </em>

Therefore, the economics profit can be evaluated using the following formula:

<em>Economic profit = Accounting profit - Opportunity cost (Salary of entrepreneur) - Value (entrepreneur's talent) - Forgone Entrepreneur's interest</em>

<em>= 230000 - 50000 - 80000 - 6000</em>

<em>= $94000</em>

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According to the consumer decision process, after consumers recognize the need for a product, they then engage in:.
lions [1.4K]

Answer:

An information search.

What is information search?

is a stage in the Consumer Decision Process during which a consumer searches for internal or external information.

4 0
2 years ago
A goal programming problem had two goals (with no priorities assigned). Goal number 1 was to achieve a profit of $2,400 and goal
topjm [15]

Answer:

100

Explanation:

Goal programming is an optimization technique that allows for multiple, normally conflicting objectives and then attempts to solve each goal sequentially to a satisfactory level. In goal programming, differential variables are being used.

Since the goal programming problem had two goals. Goal number 1 was to achieve a profit of $2,400 and goal number 2 was to have no idle time for workers in the factory. The optimal solution to this problem resulted in a profit of $2,300 and no idle time

This means that goal number 2 was achieved since the optimal solution resulted in no idle time. But goal number 1 was not achieved because a profit of $2300 was achieved in the solution instead of $2400.

Therefore, the value for the objective function for this goal programming problem = 2400 - 2300 = 100

7 0
3 years ago
Jones Company has the following data to make 10,000 seats for its bicycles: Variable Product Costs 80,000 Fixed Product Costs 10
klasskru [66]

Answer:

The company should make the bicycle seats.

Explanation:

Given:

Number of seats to be made = 10,000

Variable cost = 80,000

Fixed cost = 10,000

Outside source cost for seats = $ 8.50 per seat

Since, the fixed cost of the seats cannot be eliminated. Therefore, the deciding factor will only be the variable cost.

Thus,

contribution margin per unit seat if made by own

= ( Variable cost / Number of seats )

Or

= 80,000 / 10,000

or

= $ 8

now,

the making the seats by own is $ 0.5 cheaper.

Hence, the company should make the bicycle seats.

4 0
3 years ago
If the variable costs of producing two books are $100, what is the marginal cost of producing one more book?
Ierofanga [76]

Answer:Hi Martina, okie anyway Im taking the test rn too I just answered Tanya, its $25

Explanation:

1 book= 50

2 books= 100

100-50=50

Then 50/2=25

3 0
3 years ago
Jan pays $70 each month for her auto insurance policy. This regular payment is called<br> a.
ella [17]
Jan pays $70 each month for her auto insurance policy. This regular payment is called PREMIUM.

Premium is the payment made by the insured party to the insurer. It primary pays the insurer for bearing the risk of payout in the event that the insurance agreement coverage is needed. Premium payment may be monthly, quarterly, semi-annually, or annually.
8 0
3 years ago
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