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
pishuonlain [190]
3 years ago
13

For a certain product, the cost function is linear with fixed costs of $480. If the product will sell for $25 per unit and the b

reak even quantity is 80 units, find the marginal cost and marginal profit for the product.
Business
1 answer:
MArishka [77]3 years ago
7 0

Answer:

Marginal Cost = $19

Marginal Profit = $6

Explanation:

Break even quantity = \frac{fixed cost}{contribution per unit}

80 = \frac{480}{contribution}

Contribution = \frac{480}{80} = 6 per unit

Contribution = Sales - Variable cost = $25 - VC = $6

$25 - $6 = VC = $19

Marginal cost is cost incurred for every additional unit produced, i.e. variable cost = $19, as fixed cost remains constant.

Marginal revenue is additional revenue on sale of every unit = contribution per unit = $6

Marginal cost = $19

Marginal Profit = $6

You might be interested in
What are purchased items or extracted materials that will be transformed into components or products called?
Amanda [17]

<u>Answer:</u>

<em>Purchased items or extracted materials that will be transformed into components or products are called (</em><u><em>A) Raw materials inventory </em></u>

<u>Explanation:</u>

Raw materials inventory is the complete expense of all segment parts at present in stock, which is not in use, therefore, a continuous process or completed stock creation. There are two subcategories of crude materials, which are direct materials. These are materials fused into the last item.

Raw materials may at times be announced out of date, perhaps because they are never again utilized in organization items, or because they have debased while away, thus can never still be used

8 0
4 years ago
New York City limits the number of taxi cabs that can legally operate in the city. The most likely result of this practice is th
stich3 [128]

Answer:

cab fares will be higher.

Explanation:

The supply of cabs would fall as a result of the limit. The fall in supply would lead to a rightward shift of the demand curve for cabs.

As a result, equilibrium price (cab fares) would increase and equilibrium quantity would fall.

subway is a substitute for cabs

Due to the increase in the price of cabs, there would be an increase in the demand for subway. This would lead to a rise in equilibrium price and quantity

8 0
3 years ago
3. What's considered a retail service?
katen-ka-za [31]

Answer:

B

Explanation:

3 0
3 years ago
Read 2 more answers
Use the following information to answer this question. Windswept, Inc. 2017 Income Statement ($ in millions) Net sales $ 9,150 C
QveST [7]

Answer:

The quick ratio can be worked out as below;

Explanation:

Quick ratio=Current Assets excluding inventory stocks/Current liabilities

Current Assets=210+800

Current liabilities=$1,260

Quick Ratio =($210+4800)/$1,260

Quick Ratio=1.25

3 0
3 years ago
Ford's decision to completely redesign its ford taurus can be classified as a
KatRina [158]
It's a business level strategy. This is to take <span>actions to provide value to customers and gain a competitive advantage.

Hope this helps!</span>
7 0
3 years ago
Other questions:
  • After 30 selfless years of service to our company, Renalda Garwacki has chosen to take a little more time for herself. With a ne
    13·1 answer
  • TB MC Qu. 05-112 Eastview Company uses a perpetual... Eastview Company uses a perpetual LIFO inventory system, and has the follo
    15·1 answer
  • To manufacture 3,000 pairs of sandals in a week, a firm can use 3,600 workers and 135 machines or 270 machines and 3,300 workers
    15·1 answer
  • According to the text, thinking about your "academic anatomy" preference is a way to:
    8·1 answer
  • How and why do congress and the president rely on administrative agencies?
    15·1 answer
  • The price of oil in international markets has dropped stunningly 60% in the past twelve months. Among the factors mentioned behi
    8·1 answer
  • Changes in aggregate demand
    9·1 answer
  • A company has an unfavorable direct materials quantity variance. A possible reason for this variance is that:
    12·1 answer
  • Your company sells consulting services in legal forecasting to multinationals studying foreign market entries. In some countries
    13·1 answer
  • ritzer argues that the operating procedures perfected (but not originated) by have been duplicated in countless arenas from amus
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!