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
Anettt [7]
3 years ago
15

ony Manufacturing produces a single product that sells for $ 80. Variable costs per unit equal $ 45. The company expects total f

ixed costs to be $ 83 comma 000 for the next month at the projected sales level of 2 comma 600 units. In an attempt to improve​ performance, management is considering a number of alternative actions. Each situation is to be evaluated separately. Suppose that management believes that a 10​% reduction in the selling price will result in a 10​% increase in sales. If this proposed reduction in selling price is implemented​ ________.
Business
1 answer:
bogdanovich [222]3 years ago
8 0

Answer:

It is not convenient to reduce the selling price by 10%.

Explanation:

Giving the following information:

Selling price= $ 80.

Variable costs per unit= $ 45.

The total fixed costs= $83,000

Units= 2,600

Suppose that management believes that a 10​% reduction in the selling price will result in a 10​% increase in sales.

New price= 80*0.90= $72

Units= 2,600*1.10= 2,860

We need to determine the effect on income.

First, we calculate the present income:

Income= 2,600*(80-45) - 83,000= $8,000

Now, we can calculate the effect on income:

Effect on income= 2,860*(72 - 45) - 83,000= -$5,780

It is not convenient to reduce the selling price by 10%.

You might be interested in
What is iatrogenic anemia? How do you prevent it?
Vsevolod [243]

They can be prevented by using of small collection tube, allowing stable patients to carry out the laboratory test and sharing of specimen in the laboratory

<h3>What is iatrogenic anemia? </h3>

This is a condition of lowered hematocrit and hemoglobin count resulting from<u> frequent removal of blood samples</u> needed for testing purpose in the laboratory.

They can be prevented by carrying out the following:

  • The use of small collection tubes
  • Stable patients should only be allowed to carry out the laboratory test
  • Sharing of specimen in the laboratory

Learn more on iatrogenic anemia here: brainly.com/question/8197071

#SPJ12

3 0
2 years ago
What role does customer satisfaction play in public relations? Why is it important? Provide two reasons.
snow_tiger [21]

Answer:

Trust.

Explanation:

See its important so people can know you as a generally trustable person. Also, when a customer is they more than likely feel the need to come back. So if your selling product it will generate more customers and money.

8 0
3 years ago
Bruce Corporation makes four products in a single facility. These products have the following unit product costs:
VladimirAG [237]

Answer:

The correct answer is option (D).

Explanation:

According to the scenario, computation of the given data are as follows:

Variable cost = Direct material + Direct labor + Variable manufacturing overhead + Variable selling cost per unit

Variable cost of product A =    $17.30 + $19.30 + $6.10 + $3.05 = $45.75

Variable cost of product B =   $21.20 + $22.70 + $7.30 + $3.75 = $54.95

Variable cost of product C =   $14.20 + $17.10 + $9.80 + $4.50 = $45.60

Variable cost of product D =   $16.90 + $11.10 + $6.80 + $5.20 = $40

Contribution per unit (CPU) = selling price per unit – variable cost  

Product A CPU = $87.20 - $45.75 = $41.45

Product B CPU = $79.60 - $54.95 = $24.65

Product C CPU = $76.40 - $45.60 = $30.8

Product D CPU = $71.10 - $40 = $31.10

Contribution per grinding minutes (CPGM)  = CPU ÷ contribution per grinding minutes

CPGM of Product A = $41.45 ÷ 2.30 = $18.02

CPGM of Product B = $24.65 ÷ 1.35 = $18.26

CPGM of Product C = $30.8 ÷ 0.90 = $34.22

CPGM of Product D = $31.10 ÷ 1.20 = $25.92

According to the analysis, Product C makes the most profitable use of grinding machine. Because it’s give the highest contribution per grinding minutes.

7 0
2 years ago
How Do Earthquakes Form Will Give Brainliest
densk [106]

Answer:

Earthquakes happen when the boundaries of the Earth's tectonic plates bump and slide past one another; sometimes, they get stuck on jagged edges and cause earthquakes once they are released. These earthquakes are always followed by aftershocks starting from the same epicenter.

Explanation:

The Earth's four main layers are the inner core, outer core, mantle and crust. The crust and the mantle make up a "skin" on the outside of the planet, but is not made of a single piece. The pieces of the mantle and crust are called tectonic plates with the outer edges of each of them called plate boundaries. The section where two plates meet and move is called a fault. As each of the plate boundaries get caught on each other, the rest of the tectonic plate keeps moving and energy begins to store at the point of friction.

When the energy overcomes the friction caused, all of the energy is released and radiates from the epicenter. These waves of energy are called seismic waves and ripple like water on a pond when a stone is dropped in. They often reach the surface of the planet where everything starts to shake. This is why cities or towns that are located near faults are more likely to feel earthquakes than those in the center of a tectonic plate.

4 0
3 years ago
HELP!!! IT'S WORTH 100 POINTS!!!!!!!! HELPPPPPP PLEASE!!!!!!!!
aksik [14]

Answer:

yws

Explanation:

8 0
2 years ago
Read 2 more answers
Other questions:
  • Someone who wants the credentials of skilled training, but in less time than a four-year degree should consider
    13·1 answer
  • Use the following information to determine the break-even point in units (rounded to the nearest whole unit):
    7·1 answer
  • Rafael earned a salary of 34,944 last year. How much did he earn a month
    13·2 answers
  • If the inverse demand function is:
    7·1 answer
  • Chen Company's account balances at December 31, 2017 for Accounts Receivable and the Allowance for Doubtful Accounts are $800,00
    6·1 answer
  • Warnes Motors' stock is trading at $20 a share. Three-month call options with an exercise price of $20 have a price of $1.50. Wh
    13·1 answer
  • The CEO introduced another overseas effort by noting that it represented an attempt to confront an international competitor. The
    12·1 answer
  • Which of the following would not be a part of a company's human resources?
    7·1 answer
  • Caracteristicas profesionales de un instructor
    8·1 answer
  • When a company issues 39,000 shares of $3 par value common stock for $30 per share, the journal entry for this issuance would in
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!