3 years ago

Producer surplus:

1 answer:

5 0

I was stuck on the same thing in my class test. I ended up failing but if I get the answers to it I’ll totally send them to you!!!

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Radar Company sells bikes for $480 each. The company currently sells 4,000 bikes per year and could make as many as 4,370 bikes

Hatshy [7]

Answer:

$65,000

Explanation:

The total cost of the additional order will be $46,000 of fixed costs and an additional $160 of variable costs for each of the 370 bikes. The additional production cost is:

$C=\$46,000+370*\$160\\C=\$105,200$

If each bike is going to be sold for $460, then the additional income (excluding taxes) from accepting this order is:

$I=(price*units)-cost\\I=(\$460*370)-\$105,200\\I=\$65,000$

Radar's additional income is $65,000.

6 0

4 years ago

Galactic Inc. is considering an investment in new equipment that will be used to manufacture a smartphone. The phone is expected

Stella [2.4K]

Answer:

24%

Explanation:

The computation of the average rate of return is shown below;

As we know that

The Average rate of return = Net income ÷ Average investment

where,

Net income is

= (Selling price per unit - totat cost per unit) × additional units sales

= ($212 - $200) × $4,500 units

= $54,000

And, the average investment is

= (cost price + equipment) ÷ 2

= ($418,500 + $31,500) ÷ 2

= $225,000

So, the average rate of return is

= $54,000 ÷ $225,000 × 100

= 24%

4 0

3 years ago

Read 2 more answers

A company's flexible budget for 24,000 units of production showed per unit contribution margin of $2.50 and fixed costs, $31,200

ANTONII [103]

Answer:

The operating income will be:

Total contribution($2.50 x 29,000) = 72,500

Less: Fixed cost = 31,200

Operating income = 41,300

Explanation:

The contribution per unit is $2.50. This per unit contribution will be multiplied by the number of units produced and sold in order to obtain total contribution. Operating income is the excess of total contribution over fixed cost.

6 0

4 years ago

Identify and demonstrate processes for making long-term goals and short-term goals

matrenka [14]

Long term 4-6+ years goals like having a career having a business or some , short term 0 months-1/2 years and that's like making It to the next grade.

8 0

3 years ago

How does a 12 year old dunk a Nba Basketball goal

inna [77]

Answer:

they keep trying hard

They maybe exercise or keep playing basketball

8 0

3 years ago

Read 2 more answers

Producer​ surplus:

Producer surplus: