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monitta
4 years ago
14

Maritime Sail Makers manufactures sails for sailboats. The company has the capacity to produce 37 comma 000 sails per year and i

s currently producing and selling 30 comma 000 sails per year. The following information relates to current​ production: Sales price per unit $ 175 Variable costs per​ unit: Manufacturing $ 60 Selling and administrative $ 10 Total fixed​ costs: Manufacturing $ 675 comma 000 Selling and administrative $ 250 comma 000 If a special pricing order is accepted for 5 comma 500 sails at a sales price of $ 160 per​ unit, fixed costs remain​ unchanged, and there are no variable selling and administrative costs for this​ order, what is the change in operating​ income?
Business
1 answer:
kirza4 [7]4 years ago
8 0

Answer:

Increase in income= $550,000

Explanation:

Giving the following information:

Variable costs per​ unit:

Manufacturing $60

If a special pricing order is accepted for 5,500 sails at a sales price of $ 160 per​ unit

Because there is no change in the fixed costs and there are no variable selling and administrative costs, the effect on income will be equal to the change in total contribution margin.

Total contribution margin= number of units* (selling price - unitary variable cost

Total contribution margin change= 5,500* (160 - 60)= $550,000

Increase in income= $550,000

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Answer:

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Organizational change is the transformation or adjustment to the way an organization functions. Organizations adjust to small changes all the time, possibly looking to improve productivity, responding to a new regulation, hiring a new employee, or something similar. But on top of these little adjustments we make at work all the time, there are larger pressures that loom over us, like competition, technology, or customer demands. Those larger pressures sometimes require larger responses.

4 0
3 years ago
Use the following information for Problems 35 through 40 A potential investor is seeking to invest $1,000,000 in a venture, whic
vodka [1.7K]

Answer:

0.3797 or 37.97%

Explanation:

According to the scenario, computation of the given data are as follow:-

Wants Rate on return on investment = 50%

Expected value of return on investment = invested amount × (1+g)^t

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Similar venture would achieve valuation of $20,000,000 for $2,000,000. We can expect that company would achieve similar valuation of $20,000,000 in 5 years from now.

Investor’s share value at 5 years = $7,593,750 ÷ $20,000,000

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4 years ago
What is the American opportunity credit for 2018
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3 years ago
Suppose that in your first year of college you spend $21,800.00 more than you earn. In your second year, your expenses increase
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$483,000.987

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Explanation:

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3 years ago
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seropon [69]

Answer:

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As we know that

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