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Paraphin [41]
3 years ago
6

Last year, a toy manufacturer introduced a new toy truck that was a huge success. The company invested $2.50 million in a plasti

c injection molding machine (which can be sold for $2 million immediately) and $300,000 in plastic injection molds specifically for the toy (not valuable to anyone else). The cost of labor and materials necessary to make each truck runs about $10. This year, a competitor has developed a similar toy, significantly reducing demand for the toy truck. Now, the original manufacturer is deciding whether it should continue production of the toy truck. If the estimated demand is 100,000 trucks, the break-even price is $ per truck.
Business
1 answer:
aev [14]3 years ago
8 0

Answer:

P= 18

Explanation:

Giving the following information:

Fixed costs= 2,500,000 + 300,000= 2,800,000

Variable costs= 10 per unit

Estimated demand= 100,000 units

Break-even point= fixed costs/(P - variable cost)

100,000= 2800000/(P - 10)

100000*(P - 10)= 2,800,000

100000*P - 1,000,000= 2,800,000

100000P=1,800,000

P= 18

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Answer:

Explanation:

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The Financial Accounting Standards Board issued SFAS 141(R) in 2007 December, to substitute the SFAS 141. Evaluating the comment letters, articles and industry publications, they analyzed issues that were with SFAS 141 from the perspective of professionals, users and the FASB; it was evaluated 141(R) to ascertain these weaknesses and they were corrected with solutions been profound in 141(R).

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2 years ago
Factors leading to the slow growth of demand in embryonic industries include all of the following except the
wolverine [178]

Answer:

C) lack of venture capital for innovative products.

Explanation:

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4 0
2 years ago
Suppose the firm currently uses the input (L; K) = (8; 10) and produces 10 units of output. In addition, the manager finds that
labwork [276]

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A. Layoff some workers and acquire more capitals.

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See attached file

8 0
3 years ago
Carin, a widow, elected to receive the proceeds of a $150,000 life insurance policy on the life of her deceased husband in 10 in
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Answer:

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Explanation:

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Carin collected - $17,500 from insurance company

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3 years ago
2. An entrepreneur must make sure to budget carefully since they oversee their own company's finances.
Fynjy0 [20]

Answer:

True .....this is because the entrepreneur is the risk bearer of the business...he is liable for any profit/loss.

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2 years ago
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