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yawa3891 [41]
3 years ago
7

Gourmet Pets is interested in computing the breakeven quantity for its new product, Prime Cuts. The annual fixed costs that must

be covered by this product amounts to $750,000. Variable costs to produce one package of Prime Cuts are $2. Prime Cuts will sell for $6 per can. The breakeven quantity is _____ .
Business
1 answer:
dlinn [17]3 years ago
7 0

Answer:

187,500 units.

Explanation:

Fixed cost= $750,000

Variable cost= $2

Price= $6

To calculate the break-even quantity, we use the formula

Break even= Fixed cost ÷ (Price - Variable cost)

Let's input the values of each

$750,000/($6 - $2)

= $750, 000/ $4

= 187,500 units.

Therefore the break even is 187,500 units.

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The Marchetti Soup Company entered into the following transactions during the month of June:
sammy [17]

Answer:

Kindly find the following transactions of  Marchetti Soup Company during the month of June below in the Explanation section

Explanation:

Solution

 Transaction      Account Title              Debit       Credit

    1.                   Inventory              165,000

                          Accounts payable                     165,000

    2.             Salaries expense            40,000

                                    Cash                                 40,000

    3.             Accounts receivable      200,000

                                    Sales                                200,000

               Cost of merchandise sold   120,000  

                                Inventory                              120,000

     4                            Cash                 180,000  

                           Accounts receivable                 180,000

     5                  Accounts payable      145,000  

                                   Cash                                   145,000

3 0
3 years ago
The price elasticity of demand for soft drinks has been estimated to be 0.55. if the government enacts a major increase in the t
Artyom0805 [142]
<span>It definitely would be bad for most people. It would increase the price on a very common item that the majority of the population consumes and that would be harmful to the economy in an important aspect of the economy. It might also even limit the diversity of flavors and brand innovation.</span>
5 0
4 years ago
If a firm sells a prestige product, what kind of relationship between price and quantity demanded should it expect?.
solmaris [256]

For a firm that sells a prestige product, the relationship between price and quantity demanded is a <u>positive direct relationship</u>.

<h3>Why is the relationship between demand and price of prestige products direct?</h3>

The relationship between the demand and price of prestige products is direct because prestige products tend to sell better at high prices than at low prices.

And when the quantity demanded increases, the price tends to increase.

An example of a prestige product is an old car.

Thus, for a firm that sells a prestige product, the relationship between price and quantity demanded is a <u>positive direct relationship</u>.

Learn more about the demand for prestige products at brainly.com/question/6374886

3 0
2 years ago
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zysi [14]

Answer:

I understand this completely true fact

Explanation:

majic

3 0
2 years ago
Read 2 more answers
In which part of a business plan would you find a description of the production technology, inventory procedures, quality issues
kaheart [24]

Answer:

BUSINESS OPERATIONS AND  ORGANIZATION

Explanation:

Business plan - a plan for the implementation of business operations, company actions, containing information about the company, product, its production, markets, marketing, organization of operations and their effectiveness. Business planning is the definition of goals and ways to achieve them, through any planned and developed action programs, which in the implementation process can be adjusted in accordance with the changed circumstances. According to the definition of the Modern Economic Dictionary and the Big Economic Dictionary, a business plan is a plan, a program for carrying out business operations, enterprise actions, containing information about the enterprise, product, its production, sales markets, marketing, organization of operations and their effectiveness. A business plan is drawn up to describe the stages and ways of conducting an entrepreneurial operation, its profitability and is used to convince partners (creditors) of the advisability of the upcoming transaction, operation. In the “Economic Dictionary”, a business plan is a document developed by an enterprise in which the main aspects of a planned commercial event are systematized. That is, a business plan is the result of a consolidated systematic planning of the enterprise; This is a document of a strategic plan for the creation / development of an enterprise’s business, reflecting the current state, goals and strategy of achieving the expected needs and development of the enterprise. A business plan may also be the result of one-time project planning to solve a specific strategic task; This is the main document of the investment project, which sets out the essence, main characteristics, financial results and economic efficiency of the project. Business planning is the development of a business plan, that is, a procedure for collecting, processing information, making a system of interconnected management decisions in order to obtain the expected result.

Usually, Business Plan contains in 8 parts:

1.Executive summary

2. Background

3. Products and services

4. Markets and clients

5. Business operations and organization  (the true answer to the question)

We can include there: location and premises, marketing and selling methodology, manufacturing,  distribution, order processing/inventory control, company structure/organization, project management and management information systems/reporting.

6. Human resources

7. Legal framework, and environmental and social factors

8. Financial planning

5 0
3 years ago
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