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Yanka [14]
3 years ago
15

Lin Corporation has a single product whose selling price is $120 and whose variable expense is $80 per unit. The company's month

ly fixed expense is $50,000.
Requirement 1:
Using the equation method, solve for the unit sales that are required to earn a target profit of $10,000.

unit sales: ???

Requirement 2:
Using the formula method, solve for the unit sales that are required to earn a target profit of $15,000.

Units sold to attain the target profit: ???
Business
1 answer:
USPshnik [31]3 years ago
5 0

Answer:

See below.

Explanation:

The formula to calculate target profit is as follows,

Target sales = Fixed costs + Target profit / contribution per unit.

Contribution = 120 - 80 = $40

For 10,000 in profits,

Target units = (50000+10000)/40

Target units = 1500 units

For 15000 in profits,

Target units = (50000+15000)/40

Target units = 1625 units

Hope that helps.

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The ending inventory of finished goods for each quarter should equal 25% of the next quarter's budgeted sales in units. The fini
saveliy_v [14]

Answer:

Production for 2nd Quarter = 15,000  units

Explanation:

given data

ending inventory of finished goods = 25 %

finished goods inventory at year start =  4,000 units

so we consider here Quarter sales in unit  

1 = 12,000

2 = 14,000

3 = 18,000

4 = 16,000

solution

we get here Production for 2nd Quarter  that is

Production for 2nd Quarter = Quarter 2 sale + Desired Q2 ending inventory - Beginning Q2 inventory  ...................1

so it will be as

Production for 2nd Quarter = Quarter 2 sale + (25% of Q3 Sale) - (25% of Q2 sale)

put here value

Production for 2nd Quarter = 14000 + (18000 × 25%) - (14000 × 25%)

Production for 2nd Quarter = 14000 + 4500 - 3500

Production for 2nd Quarter = 15,000  units

3 0
3 years ago
Jack, a student, has applied for a job in one of the top private banks in the United States. Jack feels securing a job with a pr
tatiyna

Answer:

Safety needs

Explanation:

This is because Jack wants an employment which he thinks will safeguard his needs which comes with the employment. He is disiring a steady employment which falls in the second stage of needs which is safe need.

5 0
3 years ago
Bob deposits $100 in a bank account that pays an annual interest rate of 5 percent. A year later, Bob withdraws his $105. If inf
Lady_Fox [76]

Answer:

False

Explanation:

Purchasing power increases by amount of deflation (negative inflation). So, while inflation lowers purchasing power, deflation increases purchasing power by amount of deflation.

Increase in purchasing power = 7%

6 0
3 years ago
The Cookie Co. would like to sell 500 shares of stock using the Dutch auction method. The bids received were Bidder A, 200 share
liberstina [14]

Answer:

$19,700

Explanation:

The total proceeds from the auction will be calculated as follows:

A. 200 shares for $40 = 200 shares * $40 = $8,000

B. 300 shares for $39 = 300 shares * $39 = $11,700

This makes a total of 500 shares at a total proceeds of $19,700

In Dutch auction method rate per share is noted by the auctioneers to calculate the highest proceeds which can be generated through the auction. The bid from the highest rate are entertained first and in this case bidder A and B are selected.

8 0
4 years ago
How am I still single.
Vladimir79 [104]

Answer:

Hi how you doing

Explanation:

4 0
3 years ago
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