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Anestetic [448]
3 years ago
11

The Mugger sells three types of mugs, flowers, dogs, and sports. The following information is available: Flowers Dogs Sports Tot

al Sales Volume 25,000 100,000 50,000Selling Price $20 $25 $10Variable cost per unit 10 20 6Total fixed costs $500,000 REQUIRED: 1. What is the breakeven point for The Mugger? 2. Would you recommend promoting the change in product mix to 4 to 2 to 1 of flower mugs, dog mugs, and sports mugs? Why?
Business
1 answer:
svetlana [45]3 years ago
3 0

Answer:

See answer below

Explanation:

1. The break even point for flowers = Fixed costs / Contribution margin

Where contribution margin = Selling price per unit - Variable cost per unit

= $500,000 / ($20 - $10)

= $500,000 / $10

= 50,000 units

Therefore,

Break even point for the Mugger is 50,000 units.

Break even points for Dogs = Fixed costs ÷ Contribution margin

= $500,000 / ($25 -$20)

= $500,000 / $5

= 100,000 units

Break even points Sports = Fixed costs / Contribution margin

= $500,000 / ($10 - $6)

= $500,000 / $4

= 125,000 units

2. I can recommend that the mugger should change its product mix from 1:4:2 (Flowers, dogs, sports) to 4:2:1 (Flowers , dogs , sports)

• Because there is an increase in the break even points for each of the mugger.

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Answer:

A. 1 week

Explanation:

This is true due to the fact that, Cassandra knew it would take about 1 week to establish the price point in the new product which she is planning to launch.

For the extra week it would have taken to get the paper could not hold again due to the fact that, it was already established that, it would take same day to get same paper rather than waiting for the paper to get to the strategy group in one week.

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2 years ago
The company that you manage has invested $5 million in developing a new product, but the development is not quite finished. At a
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Given Information:

The company that you manage has invested $5 million in developing a new product, but the development is not quite finished. At a recent meeting, your salespeople report that the introduction of competing products has reduced the expected sales of your new product to $2 million. If it would cost $1 million to finish development and make the product, should you go ahead and do so? What is the most that you should pay to complete the development?

Answer:

Yes, because the total loss would then be $3 million rather than $5 million. The most you should pay to complete the development would be $2 million.

Explanation:

Every product or service that is marketed or is related against, and competitive with, a product or service created or produced by Fiserv or manufactured or distributed. Competitive Product or Service

In the end demand for the product declines due to the exhaustion of supply and economies and new technologies and shifts in the preferences of the customer.

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3 years ago
Which is not the application of ahp?
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C. stock market prediction is not the application of ahp.

A stock market forecast is an attempt to determine the future value of a company's stock or other financial instruments traded on a stock exchange. Correctly predicting the future price of stocks can be very profitable.

A stock market forecast is an attempt to predict the future value of individual stocks, particular sectors, markets, or the market as a whole. These forecasts typically use fundamental analysis of companies and economies, technical analysis of charts, or a combination of both.

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An economy produces 10 cookies in year 1 at a price of $2 per cookie and 12 cookies in year 2 at a price of $3 per cookie. From
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From year 1 to year 2,  the real GDP of the economy increases by 20%.

<h3>What is real GDP?</h3>

Gross domestic product is the total sum of final goods and services produced in an economy within a given period which is usually a year.

Real GDP is GDP calculated using base year prices. Real GDP has been adjusted for inflation. It reflects the value of goods and services produced in an economy.

<h3>What is the increase in real GDP?</h3>

GDP in year 1 = 10 x $2 = 20

Real GDP in year 2 using year 1 prices as base price = 12 x $2 = $24

Increase in real GDP = (24 / 20) - 1 = 20%

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When British regulators were forced to suspend the license of a flu vaccine plant in Liverpool operated by the Chiron Corporatio
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Explanation:

The answer to this question is contained in the attachment. The graph has been used to explain the solution.

A. As license got suspended price rose to p1 as quantity fell from q to q1.

So quantity decreased and price rose.

B. The area market csps, D ands cs were consumer surpluses , after the decrease in amount of vaccines in the market, consumer surplus decreased to area cs, csps became part of producer surplus. Triangle d is the deadweight loss caused by fall in quantity.

Ps and d' are initial producer surplus. Producer surplus after decrease in vaccine can be seen in ps and csps. D' is the dead weight loss as price decreases.

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