The overhead costs are probably around $200 when you factor in all the emissions taxes
Answer:
winning the group romm contract: $14,967.50
normal tuesday revenue $16,175.50
Explanation:
group contract:
125 rooms x $ 109 = 13,625
normal rooms:
(220-125) x $ 141.50 = <u> 13,442.5 </u>
total revenue: 27,067.5
variable cost: 220x55= (12,100)
contribution: 14,967.5
If it doesn't win the contract
will sale 220 x 85% = 187 rooms at 141.5 each
187 rooms x (141.5 - 55) = 16.175,5
Answer:
im not sure but i think it is d
Explanation:
Answer:
It is a better deal to keep the old equipment
Explanation:
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each year the new equipment generates a 13,700 adidtional cash outflow
We should check if the cost saving per year at 8% will have a present value lower than the proceed from the sale:
C 13,700.00
time 5
rate 0.08
PV $59,076.1377
As the differential cost exceeds the amount of proceed we would get if the old equipment is sold we already conclude we should keep it
The areas are an example of <span>a decrease in the price and an increase in the quantity of the firm's output.
The green areas would decrease the amount of money that the company need to handle waste of production, and social responsibility related cost, which would decrease the price and increase the firm's output.</span>
