Answer: The break-even point is 66 units.
Explanation:
The break-even point can be found by dividing total fixed costs by the difference between selling price and variable cost.
(fixed cost) / (sale price - variable cost)
1980 / (50 - 20) = 66 units
Salt & Battery must sell 66 units of product before breaking even.
Answer:
C) 38,000
Explanation:
The estimated warranty liability for 2017:
= [2016 sales x (first + second year warranty costs)] + [2017 sales x (first + second year warranty costs)] - (warranty expenses for 2016 and 2017)
= [$600,000 x (2% + 5%)] + [$800,000 x (2% + 5%)] - ($20,000 + $40,000)
= $42,000 + $56,000 - $60,000 = $38,000
Answer:d the increase or decrease in cash flow for the period of time
Explanation:
It’s the amount gained and lost in the amount of time they were in business
Answer:
law of comparative advantage.
Explanation:
Nations will be able to produce a larger joint output and realize mutual gains when each specializes in the production of those items for which it is a low-opportunity cost producer and trades for those things that it could produce only at a high cost. This statement best describes the law of comparative advantage.
Comparative advantage can be defined as ability of a country or business entity to produce goods and services at a lower opportunity cost than others such as their trade partners. Hence, the most important benefit of the comparative advantage is that, it gives a country or business entity the ability to sell their finished goods and services at a lower price in comparison with its close competitors and consequently, resulting in a stronger sales margins.
Answer:
Average profit per computer sold
Current:
Average profit per computer sold = Income from sale of Computer / No. of computer sold
Average profit per computer sold = $17,000,000 / 3000 = $5,667
After growth:
Sales = $17,000,000 x 105% = 17,850,000
Number of Computers = 3000 + 600
Average profit per computer sold = Income from sale of Computer / No. of computer sold
Average profit per computer sold = $17,850,000 / 3600 = $4,958
