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3 years ago

Owner Shan Lois considering franchising her Noodles for a restaurant concept. She believes people will pay

Business

1 answer:

makvit [3.9K]3 years ago

5 0

Answer:

a) Break-even sales (BEP)= $15,750

b) Yes, the franchise is good because the $63,000 sales that be generated by most locations is higher than the minimum sales revenue of $36,000 required to achieve the the target profit

Explanation:

Contribution margin ratio= (sales-variable cost/sale )× 100

Break -even sales (BEP) = Fixed cost/Contribution margin ratio

CMR = (10.50 -6.30)/ 6.30= 66.7%

BEP= 10,500/66.7%= $15,750

To generate a minimum operating income of $13,500, the franchisee will need to make sales worth:

Sales revenue to achieve pre-determined income=( Fixed cost + Target income)/CMR

= (10,500. + 13,500)/0.667

= $36,000

Yes the franchise is good because the $63,000 sales that be generated by most locations is higher than the minimum sales revenue of $36,000 required to achieve the the target profit

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The increasing involvement of salespeople in _____________________ is one major reason why the average cost of a sales call has

Otrada [13]

It would be because of Non selling activities

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3 years ago

Record journal entries for the following transactions. (a) On December 1, $18,000 was received for a service contract to be perf

Aliun [14]

Answer:

See explanation section

Explanation:

(a) December 1 Cash Debit $18,000

Unearned revenue Credit $18,000

Note: The company received the money in advance for a contract to do during December to April. Therefore, they received cash while a liability increased due to receiving advance money.

(b) December 31 Unearned revenue Debit $3,600

Service revenue Credit $3,600

Note: As the company started performing, after the completion of 1st month, i.e., December 1 to December 31, the advance money started expiring because of providing services. Moreover, as the service is performed evenly for 5 months, the 1st month's revenue = $(18,000/5) = $3,600.

5 0

3 years ago

Performance Gloves, Inc. produces three sizes of sports gloves: small, medium and large.

lapo4ka [179]

Answer:

A.Pattern Department 57 per DLH

Cut and Sew Department 78 per DLH

B.Small glove 8.52

Medium glove 10.65

Large glove 12.78

Explanation:

a) Calculation to Determine the two production department factory overhead rates.

Pattern Department = 165,200/2,900

= 56.9 Approximately 57 per DLH

Cut and Sew Department = 273,000/3,500

= 78 per DLH

Therefore two production department factory overhead rates will be :

Pattern Department 57 per DLH

Cut and Sew Department 78 per DLH

b) Calculation of the factory overhead cost per unit

Small glove (57*.04+78*.08)=8.52

Medium glove (57*.05+78*.10)=10.65

Large glove (57*.06+78*.12)=12.78

Therefore the factory overhead per unit for each product will be: Small glove 8.52

Medium glove 10.65

Large glove 12.78

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3 years ago

Equipment maintenance costs for manufacturing explosion-proof pressure switches are projected to be $125,000 in year 1 and incre

Inessa05 [86]

Answer:

The equivalent uniform annual worth of the maintenance costs at an interest rate of 10% per year, compounded semiannually is $127,432

Explanation:

In order to calculate the equivalent uniform annual worth of the maintenance costs at an interest rate of 10% per year, compounded semiannually we would have to calculate the following formula:

equivalent uniform annual worth of the maintenance costs= P(i(1+i)∧n/(1+i)∧n-1

The rate of interest i would be as follows:

rate of interest i=(1+10%/2)-1

rate of interest i=0.1025*100

rate of interest i=10.25%

The present value P would be calculated as follows:

present value P=$125,000(1-(1+1/100)∧5 (1+10.25/100)∧-5/(10.25/100-1/100)

present value P=$125,000*3.84

present value P=$480,000

Therefore,

equivalent uniform annual worth of the maintenance costs=$480,000*(10.25/100 (1+10.25/100)∧5/(1+10.25/100)∧5-1)

equivalent uniform annual worth of the maintenance costs=$480,000*0.2654

equivalent uniform annual worth of the maintenance costs=$127,432

The equivalent uniform annual worth of the maintenance costs at an interest rate of 10% per year, compounded semiannually is $127,432

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4 years ago

Explain the reasons why more efficient keyboards were not able to replace the QWERTY keyboard and what principle this illustrate

ELEN [110]

Answer:

so that people don type to fast again like the 20th centruy people

Explanation:

3 0

3 years ago