1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
dlinn [17]
3 years ago
11

Black Cat Corporation manufactures a product with the following full unit costs at a volume of 4,000 units: Direct materials $20

0 Direct labor 80 Manufacturing overhead (30% variable) 150 Selling expenses (50% variable) 50 Administrative expenses (10% variable) 80 Total per unit $560 A company recently approached Black Cat’s management with an offer to purchase 450 units for $550 each. Black Cat currently sells the product to dealers for $800 each. Black Cat’s capacity is sufficient to produce the extra 450 units. No selling expenses would be incurred on the special order. If Black Cat’s management accepts the offer, profits will: Group of answer choices Decrease by $120,000 Increase by $66,800 Increase by $97,650 Decrease by $24,000
Business
1 answer:
Snezhnost [94]3 years ago
5 0

Answer:

Increase by $97,650

Explanation:

Increment Sale                                       $247,500

(450 * $550)

<u>Less Increment cost</u>

Direct materials                 $90,000

(450 * $200)

Direct labor                        $36,000

(450 * $80)

Manufacturing overhead   $20,250

(450 * $150 * 30%)  

Administrative expenses   <u>$3,600</u>        <u>$149,850</u>

(450 * $80 * 10%)

Profit will increase by                             <u>$97,650</u>

You might be interested in
Could delta implement self-tagging, whereby passengers put destination tags on their own bags, and would that help the baggage p
Cloud [144]
<span>Delta could implement self tagging whereby passengers could put destination tags on their own bags.This system would prevent theft by bag handlers who indulge in theft of expensive items like laptops,.cell phone etc.Due to correct tagging by passengers themselves bags are likely to reach their destination safely.</span>
8 0
3 years ago
In which of the following economic systems is the government's role greatest?
Fed [463]

Answer:

command has the government role

8 0
3 years ago
Ball transforms raw materials, human resources, parts, supplies, tools, and other resources into containers using processes of f
Jlenok [28]
This process is known as operations management. Operations management serves to foster the highest possible level of efficiency within an organization. It is an important practice of business management. The way operations management is carried out in any organization is varied and it depends on the types of goods and services that are offered. 
7 0
3 years ago
Knowledge Check 01 Addison Corporation is considering the purchase of equipment that would increase sales revenues by $250,000 p
Flauer [41]

Answer:

C. 25.5%

Explanation:

Net operating cashflow = (250,000 - 100,000) = 150,000; This is a recurring cashflow; the PMT

Cost of equipment; the PV = 400,000

Next, calculate the rate of return  using Net operating cashflow per year and the equipment cost. You can do this with a financial calculator;

N =5

PMT = 150,000

FV = 0

PV = -400,000

then CPT I/Y = 25.41%

Therefore the return is closest to 25.5%

8 0
3 years ago
As a response to a rapidly changing marketplace, idea electronics found it necessary to reorganize, including a significant down
Arte-miy333 [17]
<span>This will lead to a flattening of the overall organization. This will allow the management to be closer to the end consumer, giving a better overall customer service reputation as well as a cost savings in not having to have as many levels of bureaucracy to go through on the part of the consumer.</span>
4 0
3 years ago
Other questions:
  • Michael will attend college in 5 years. He anticipates he will need $19,000 to pay for the first year. He currently has $6,400 i
    6·2 answers
  • The contrast error is committed when the rates rate people:
    12·1 answer
  • What are the 5 specific forces that are acting as stimulant for changes with relevant examples
    10·1 answer
  • Countries which export more than they import (i.e., which have a surplus in their balance of trade) still will have a $0 balance
    14·1 answer
  • Paul's Dogs Corp. has 9 percent coupon bonds making annual payments with a YTM of 8.5 percent. The current yield on these bonds
    14·1 answer
  • 1. A stock has an expected return of 10.2 percent, the risk-free rate is 4.1 percent, and the market risk premium is 7.2 percent
    12·1 answer
  • The perfectly price-discriminating monopolist is like the __________ in this regard.
    12·1 answer
  • "Native advertising refers to" promotion that looks like content. minimalist promotion relying on few graphics. content that loo
    15·1 answer
  • FAW Group is an automobile manufacturer known for producing efficient, durable, and low-priced cars. Recently, the company launc
    5·1 answer
  • you plan to deposit $1,500 quarterly for 35 years at 7% interest, compounded monthly. how much will you have in the account in 3
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!