1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
dsp73
3 years ago
13

Nice Corporation produces and sells a single product. Data concerning that product appear below: Per Unit Percent of Sales Selli

ng price $ 190 100 % Variable expenses 38 20 % Contribution margin $ 152 80 % Fixed expenses are $110,000 per month. The company is currently selling 1,400 units per month. Required: Management is considering using a new component that would increase the unit variable cost by $48. Since the new component would improve the company's product, the marketing manager predicts that monthly sales would increase by 600 units. What should be the overall effect on the company's monthly net operating income of this change if fixed expenses are unaffected? (Negative amount should be indicated by a minus sign.)
Business
1 answer:
Alexeev081 [22]3 years ago
8 0

Answer:

The opearing income will increase by 71,200

Explanation:

ΔSales for 600

↓CM by 10 (38 Variable - 48 variable) = -10

<u>First: </u>

We have 600 more of sale at this new CM

ΔSales for 600 x Contribution Margin per unit 142 = Δ85,200

<u>Second : </u>

Our other units will have a decrease in their contribution

1,400 x  ↓CM (-10) = ↓-14,000

Net 71,200

The opearing income will increase by 71,200

You might be interested in
Suppose the economy goes from a point on its production possibilities frontier (PPF) to a point directly to the left of it. Assu
yanalaym [24]

Answer:

new law that interfaces with productive efficiency.

Explanation:

The Production possibility curve shows all the two combination of goods or services that can be produced in an economy given its resources and technology. Carrying out production on the production possibility curve is efficient. Carrying out production to the right of the production possibility curve or outside the curve is impossible. Carrying out production inside or to the left of the production possibility indicates inefficiency in production .

Technological improvement and a gain of resources shifts the curve outward.

A loss of resocurces pushes the curve inward.

I hope my answer helps you

4 0
3 years ago
If farmer sam macdoanld can produce 200 pounds of cabbages and 0 pounds of patotes or 0 pound of cabbes and 100 pounds of potato
amid [387]
C is your best answer!! goodluck
5 0
3 years ago
A firm has a cost of debt of 7.5 percent and a cost of equity of 16.2 percent. the debt-equity ratio is 0.45. there are no taxes
valentina_108 [34]
About 16.2 percent of the cost of what ?
6 0
3 years ago
Because of the difference between the discipline imposed by market competition and the discipline imposed by political decisions
Cloud [144]

Answer:

Difficulty managing public investment so it's done in a cost effective way

Explanation:

An Economy

This is simply known as a well arranged means by which nations supply or provide for the needs and wants of its people.

Resources

This are simply all the materials or things that is put in place that is used in producing goods and services.

Factors of production includes land, labor, capital, and entrepreneurship.

The reasons for government intervention is due to the allocation function, market failure occurs in case of Public Goods, externalities, Insufficient Competition; distribution function and stabilization function. Government influences decision making by establishing legal framework within which businesses and households operate.

3 0
3 years ago
Your manager has asked for your help to make a decision on an important issue within 24 hours. the outcome of this decision will
exis [7]
The best thing that you should do in this scenario would be :

- Gather as much as information as you can regarding the issue (maybe by asking input from your associates)
 
- analyze the issue completely thoroughly

- Believe in yourself and create the best decision based on your analytic 

hope this helps
8 0
3 years ago
Other questions:
  • Affirmative action is a policy of giving preference to those who _____.
    15·2 answers
  • 1.
    12·2 answers
  • Dooling Corporation reported balances in the following accounts for the current year: Beginning EndingInventories $600 $300Accou
    12·1 answer
  • Which of the following statements is (are) TRUE?
    9·1 answer
  • LC Delivery has decided to sell 1,800 shares of stock through a Dutch auction. The bids received are as follows: 600 shares at $
    8·1 answer
  • This year Randy paid $28,000 of interest. (Randy borrowed $450,000 to buy his residence, which is currently worth $500,000.) Ran
    8·1 answer
  • A firm is currently operating at full capacity. Net working capital, costs, and all assets vary directly with sales. The firm do
    9·1 answer
  • Which document establishes an initial record of the receipt of the inventory? petty cash voucher purchase order vendor's invoice
    14·1 answer
  • mr sumesh started selling cars at the age of 23 and he then started selling planes at the age of 43 years. what is the fraction
    13·1 answer
  • On January 1, 2020, ABC Corporation had 990,000 shares of common stock outstanding. On March 1, the corporation issued 150,000 n
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!