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satela [25.4K]
3 years ago
14

Sales of Granite City Products Inc. have been on a steady decline for the last 12 months. A market research study conducted reve

aled that the product of Granite City Products Inc. can be sold only for $420 as opposed to the current market price charged of $520 per unit. Granite City Products Inc. has decided to revise its sales price to $420. The annual sales target volume of the product after price revision is 280 units. Granite City Products Inc. wants to earn 30% on its sales amount. What is the target operating income?
Business
1 answer:
Fed [463]3 years ago
5 0

Answer:

$35,280

Explanation:

For computation of the target operating income first we need to find out the profit per unit which is shown below:-

Profit per unit = Sales Price × Sales percentage

= $420 × 30%

= $126

Target Operating Income = Profit per unit × Annual Sales Target

= $126 × 280 units

= $35,280

Therefore for computing the target operating income we simply applied the above formula.

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Solnce55 [7]

Answer:

Explanation:

From the question, we are informed that before the tax, 25 million wine bottles were sold at price of $6 per bottle and that after the tax, 20 million bottles of wine are sold every month and the consumers pay $8 per bottle which include the tax and producers receive $5 per bottle.

The amount of tax on wine will be the difference between the price consumers pay after the tax and the price producers receive. This will be:

= $8 - $5

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The tax burden that falls on the consumers will be difference between price paid after tax and the price which is paid before the tax.

= $8 - $6

= $2 per bottle

The tax burden on the producers will be difference between price received before the tax and price received after the tax.

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= $1 per bottle

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4 years ago
Government forms created by the Federal Reserve must be approved by the Office of the Comptroller of the Currency (OCC). TrueFal
Vikki [24]

Answer:

True

Explanation:

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5 0
3 years ago
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In which situation would it be more effective to use the direct strategy?
rusak2 [61]

Answer:

A) When the organization or receiver prefers directness

Explanation:

"Direct communication is speech that conveys clear messages or that clearly directs actions. Direct communication is often used in the workplace to ensure clarity regarding who has the authority to give orders and what the orders are. Direct communication may be used when there is no room for discussion or compromise."

Reference: Study.com. “Direct Communication: Definition & Examples Video.” Study.com, 2019

4 0
3 years ago
What is the bad side of profit motive?
Daniel [21]

Answer:

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3 0
3 years ago
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Schickel Inc. regularly uses material B39U and currently has in stock 456 liters of the material for which it paid $2618 several
PilotLPTM [1.2K]

Answer:

the relevant cost of the 750 liters of material B39U is $4,350

Explanation:

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4 0
3 years ago
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