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Ronch [10]
3 years ago
15

The Green Machine Manufacturing Company has the option to make or buy a component part for one of its lawnmowers. The annual req

uirement is 25,000 units. A supplier is able to supply the parts for $12.25 per piece. Green Machine estimates that it will cost $700 to prepare the contract with the supplier. To make the parts in-house, Green Machine must invest $100,000 in capital equipment. They estimate it will cost $9.00 per piece to produce the part in-house. Carry all calculations out to two decimal places. What is the breakeven quantity
Business
1 answer:
Delvig [45]3 years ago
4 0

Answer:

30,769.23

Explanation:

At which point the price doing the component matches the purchased amount of 12.25

100,000 / Q + 9 = 12.25

100,000 / Q = 12.25 - 9

Q = 100,000 / 3.25 = 30,769.23

At this point the cost for producing the component  or bring them from abroad has the same utility (indifference zone) below this area, it is more profitable to keept outsorcing while above it, it will expense much more.

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At December 31, 2020 Bramble Corp. had 298000 shares of common stock and 9800 shares of 6%, $100 par value cumulative preferred
Vika [28.1K]

Answer:

the earning per common share is $3.83 per share

Explanation:

The computation of the earning per common share is shown below

= Net income ÷ weighted number of outstanding shares

= $1,143,000 ÷ (298,000 shares)

= $3.83 per share

We simply divided the net income from the  weighted number of outstanding shares so that the earning per share could be determined

hence, the earning per common share is $3.83 per share

5 0
3 years ago
Management of Carla Vista, Inc., is planning to raise $1,215,000 in new equity through a private placement. If the sale price is
Alexeev081 [22]

Answer:

Number of shares to be issued =  60,000  units

Explanation:

<em>A private placement involves the issue of new shares to a few number of individual and institutional investors. Unlike initial public offering, here the shares are not offered to the general public.</em>

The number of units to be issued is determined as follows

Units to be issued = Total capital to be raised / issue price per share

Number of units to be raised = $1215,000/$20.25 per share= 60,000  units

Number of shares to be issued =  60,000  units

3 0
3 years ago
Tools, equipment, and factories used in the production of goods and services;
Luba_88 [7]

Answer:

capital

Explanation:

The capital assets are all those belongnings of the company that help creating revenue.

4 0
3 years ago
Read 2 more answers
1. An example of an unsecured debt is a(n) _____. (1 point)
DerKrebs [107]
1) A student loan is an example of an unsecured debt. A secured debt is when a person has something as collateral like their automobile. 

2) Unsecured debts usually have higher interest rates when compared to something with a secured debt. 
8 0
3 years ago
Read 2 more answers
Block Island TV currently sells large televisions for $ 380. It has costs of $ 310. A competitor is bringing a new large televis
Fofino [41]

Answer:

$281.67

Explanation:

Data provided in the question:

Current selling price of large TV = $380

Cost of Large TV = $310

Selling price of new TV = $340

Increase in sales = 20% = 0.20

Current sales = $150,000

Now,

Expected sales after reducing the price = Current sales + Increase in sales

= 150,000 + ( 0.20 × 150,000 )

= 150,000 + 30,000

= 180,000

Target Operating income = ( $380 - $310 ) × current sales

= $70 × 150,000

= $10,500,000

New operating cost per unit

= Target Operating income ÷ Expected sales after reducing the price

= $10,500,000 ÷  180,000

or

New operating cost per unit = $58.33

Target Cost

= Price after reduction - New operating cost per unit

= $340 - $58.33

= $281.67

3 0
3 years ago
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