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KiRa [710]
3 years ago
9

Newton Company currently produces and sells 7,000 units of a product that has a contribution margin of $5 per unit. The company

sells the product for a sales price of $23 per unit. Fixed costs are $39,000. The company is considering investing in new technology that would decrease the variable cost per unit to $11 per unit and double total fixed costs. The company expects the new technology to increase production and sales to 12,000 units of product. What sales price would have to be charged to earn a $90,000 desired profit assuming the investment in technology is made
Business
1 answer:
mart [117]3 years ago
8 0

Answer:

selling price= $25

Explanation:

Giving the following information:

Fixed costs= $78,000

Unitary variable cost= $11

Desited profit= $90,000

Break-even point in units= 12,000

<u>To calculate the selling price, we need to use the following formula:</u>

Break-even point in units= (fixed costs + desired profit) / contribution margin per unit

12,000= (78,000 + 90,000) / (selling price - 11)

12,000*selling price - 132,000 = 168,000

12,000selling price = 300,000

selling price= $25

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Tanzania [10]

Answer:

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Explanation:

The limestone production results in huge social effects like, noise pollution, soil pollution, which affects lives of people. And since the manufacturers or producers of limestone do not care about the social results of such production, they shall be liable to pay huge taxes.

As for this, the cause as stated in statement A is absolutely suitable.

Also the prices are more in this area even after so much of social destruction.

Accordingly high taxes as a penalty for such social destruction shall be charged.

4 0
4 years ago
The transactions completed by Franklin Company during January, its first month of operations, are listed below. Assume that Fran
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Answer:

Issued check for a payment on account CP, subsidiary posting

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7 0
4 years ago
BI represents a bold new paradigm in which the company's business strategy must be aligned to its business intelligence analysis
nikdorinn [45]

The answer is, False.

  • A collection of tools (technology, applications, etc.) known as business intelligence (BI) is used to enable better business decisions.
  • BI is a tool for achieving goals, not a goal in and of itself.
  • BI is a crucial tool since technology is advancing quickly and steadily.
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  • Our world has radically transformed as a result of new technology, and no organization can afford to fall behind.

<h3>What do you mean by business intelligence?</h3>
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<h3>What is business intelligence give examples?</h3>
  • BI encourages the use of historical data to promote fact-based decision making as opposed to assumptions and intuition.
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Learn more about  business intelligence here:

brainly.com/question/13339276

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4 0
2 years ago
Dr. Rick Torres runs a chiropractic clinic. He typically bills his customers for services he performs and gives them about 30 da
Strike441 [17]

Answer:

<u>e) accounts receivable</u>

Explanation:

a) <em>allowance for doubtful accounts:</em> this is used to determinate a provision of uncollectible account. Customers that will not honor their debts.

b)<em>prepaid expenses:</em> This is use for the payment in advance for utilities and other expenses like rent. The description does not involve any payment from Dr Torres.

c)<em>unearned revenues: </em>used when the customer pays the service or goods but the business didn't perform or deliver. The Dr has perform his services so they revenues are earned.

d) <em>intangible assets: </em>refers to trademarks, patents and other assets which related to the business. the customers account are tangible, they are a know value

e) <u>accounts receivable: correct.</u>

This represent the collectible amount from customers, which is exactly what it is happening. The Dr gives a certain amount of time to receive the payment for his services. While the services aren't paid, the Dr has "Accounts to receive"

3 0
3 years ago
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Fudgin [204]
Scientific laws are created when a theory has stood the test of time and cannot be proven wrong. A scientific law is a statement based on repeated experimental observations that describes some aspects of the universe. Hope this answers the question.
6 0
3 years ago
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