Answer:
$7,222
Explanation:
Given that,
Selling price per dozen = $18
Variable costs = $5 per dozen
Total fixed costs = $ 5,200
Contribution margin per dozen:
= Selling price per dozen - Variable costs per dozen
= $18 - $5
= $13
Contribution margin ratio:
= (Contribution margin ÷ Selling price per dozen) × 100
= ($13 ÷ $18) × 100
= 0.72 × 100
= 72%
Break-even sales in dollars:
= Total fixed costs ÷ Contribution margin ratio
= $5,200 ÷ 0.72
= $7,222
Answer:
The price elasticity of demand for the students is:
inelastic.
Explanation:
The price elasticity of demand for the students is inelastic because there is no change in the quantity demanded by students that changes the price at which pizza is sold to the students. If one student buys the pizza, the price charged remains $10 and if 1,000 students buy the pizza, the price remains $10 per unit. Therefore, students' demand for the pizza is said to be static irrespective of price because the price is fixed.
<u>Answer:</u>
<em>D. The equilibrium interest rate and amount invested would both increase
</em>
<em></em>
<u>Explanation:</u>
Investment spending is a significant classification of actual GDP. Not exclusively is it the most unstable piece of real GDP; however, speculation spending on physical capital is additionally a significant supporter of financial development. Things being what they are, if a firm needs to construct another processing plant, where does it get the assets to assemble it? The investment of loanable assets depends on investment funds. The interest in loanable assets depends on getting.
<span>Companies using target costing start with an ideal selling price and then target costs that will ensure that the price is met.
Companies use this approach to make sure they are setting a projects price point at appropriately. They want to make sure it meets the standards the price point is set at by quality and functionality of the product being worth the money a customer will spend for it. They are able to design their profit margin and build the target costs and revenue around that. </span>