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
Elza [17]
3 years ago
7

Edgewater Enterprises manufactures two products. Information follows: Product A Product B Sales price $ 13.50 $ 16.75 Variable c

ost per unit $ 6.15 $ 6.85 Product mix 40% 60% Calculate the break-even point if Edgewater’s total fixed costs are $230,000. (Round your intermediate calculations to 2 decimal places and final answer to the nearest whole number.)
Business
1 answer:
olasank [31]3 years ago
8 0

Answer:

The break-even point is $25,900 units

Explanation:

In this question we use the formula of break-even point in unit sales which is shown below:

= (Fixed expenses) ÷ (Contribution margin per unit)

where,  

Contribution margin per unit for product A = (Selling price per unit - Variable cost per unit) ×product mix

= ($13.50 - $6.15) × 40%

= $2.94

Contribution margin per unit for product B = (Selling price per unit - Variable cost per unit) ×product mix

= ($16.75 - $6.85) × 60%

= $5.94

So, the total contribution margin would be equal to

= $2.94 + $5.94

= $8.88

And, the fixed cost is $230,000

Now put these values to the above formula

So, the value would be equal to

= $230,000 ÷ $8.88

= $25,900 units

You might be interested in
Since the politicians are unwilling to get rid of the rent controls, they offer you a list of suggestions to make housing more a
nika2105 [10]
<span>For statement 1; Government provided housing, this may be costly but the way that the people are provided with houses can decrease the number of homeless people. For statement 2; Tax deductions to renters, this has been going on for thousand years, taxes are used to provide services to people if the government properly used it. For statement 3; Tax breaks to construction companies who provide affordable housing, this is common to developers who intend to maximize their profit and the available area for people whose income is not that high. I would suggest statement 3.</span>
6 0
3 years ago
You are the beneficiary of a life insurance policy. the insurance company informs you that you have two options for receiving th
lesantik [10]

So in this case, you would need to find the present value (PV) of the monthly payments. With the information given, you would have a PV= 195,413.08, which is less than the lump sum payment. In this case, you would take the 1 time payment.

Another way to look at this is to calculate the future value (FV) of both payouts. For the lump sum payment, you would assume the same interest rate (6%) and at the end of the same 20 years period, your investment would be worth 662,040.90 while the monthly payment option would be worth 646,857.25

7 0
2 years ago
In routine jobs where workers have little flexibility, the relationship between job satisfaction and work performance is:
Ira Lisetskai [31]

Answer:

The correct answer is A. Generally small and influenced by other factors

Explanation:

Flexibility in this case refers to the development of more dynamic tasks without taking into account time, and is presented as the way in which employees get on with other tasks in order to learn new things. Job satisfaction is distinguished by aspects of their tasks, where the level of growth is perceived under static working conditions.

3 0
2 years ago
Using the following accounts and balances, prepare the "Stockholders’ Equity" section of the balance sheet using 20,000 shares o
olga55 [171]

Answer and Explanation:

The preparation of the stockholder equity of the balance sheet is presented below:

Shares issued  $48,000,000

Add: Paid-In Capital in Excess of Par $6,400,000

Add: Paid in Capital from Sale of Treasury Stock $4,500,000

Add: Retained Earnings $63,680,000

Less: Treasury Stock, 40,000 shares -$5,200,000

Total stockholders' equity $117,380,000

6 0
3 years ago
Two fatal flaws can render a business model untenable from the beginning. These are:
zavuch27 [327]

Answer:

The correct answer is the option A: failure to complete a business plan and failure to get funding.

Explanation:

To begin with, if an entrepreneur failures to complete a business plan and to get funding then the most probable thing to happen is that his business will be untenable from the beginning due to the fact that if the person do not possesses money and a plan to put his ideas in action he will never achieve his primary goals, that is, obtaining profits at long term. Therefore that if there is no business plan in which the company must focus and there is no money to carry out that strategy then the business model is doomed.

6 0
3 years ago
Other questions:
  • Sales revenue is​ $725,700; allocated manufacturing overhead is​ $95,100; actual manufacturing overhead is​ $120,500; and cost o
    14·1 answer
  • You're serving on a marketing team for an online client, and you've been asked to create a list of key performance indicators (K
    6·1 answer
  • Four different competent accountants independently agree on the amount and method of reporting an economic event. The concept de
    9·1 answer
  • Why does the term debit not always mean increase and credit does not always mean increase.
    9·1 answer
  • Geoff purchased a life annuity for $4,800 that will provide him $100 monthly payments for as long as he lives. Based on IRS tabl
    13·1 answer
  • Mario is a criminal attorney with a private practice. He has been appointed by the court to serve as a defense attorney for an i
    11·1 answer
  • Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of the company’s products, a football helmet for the N
    14·1 answer
  • How did the constitution differ from the articles of confederation? Match the correct document on the left to each of the featur
    9·2 answers
  • Culver Company is involved in four separate industries. The following information is available for each of the four industries.
    8·1 answer
  • Broker Eric secure the loan for buyer Paul the fees that Eric charges Paul for making the loan could be which of the following a
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!