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Umnica [9.8K]
3 years ago
10

Samples Corporation would like to use target costing for a new product it is considering introducing. At a selling price of $21

per unit, management projects sales of 20,000 units. The new product would require an investment of $400,000. The desired return on investment is 12%.
The target cost per unit is closest to:

$21.00

$18.60

$23.52

$20.83
Business
1 answer:
Anvisha [2.4K]3 years ago
5 0

Answer:

$18.60

Explanation:

Target cost:

= Sales revenue - Profit

= (No. of units sold × Selling price per unit) - (Investment require × desired return on investment)

= (20,000 × $21) - ($400,000 × 0.12)

= $420,000 - $48,000

= $372,000

Target cost per unit:

= Target cost ÷ Number of units

= $372,000 ÷ 20,000

= $18.60

Therefore, the target cost per unit is closest to $18.60.

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vichka [17]

Answer:

National Dog Week

herefore, the average safety capacity of the factory is __5,000__ pounds/month.

Explanation:

a) Data and Calculation:

Theoretical capacity for the factory = 25,000

Effective capacity for the factory =     20,000

Safety capacity for the factory =           5,000

b) The safety capacity of National Dog Week describes the factory's capacity that is not being put to use currently but can be called to use when demand requires it.  It is the difference between the factory total usable capacity and the effective currently being used capacity.

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3 years ago
The growth-share matrix defines four types of SBUS?
nirvana33 [79]

The growth-share matrix defines four types of SBUs:

  • Stars: Consolidate/ Expand
  • Question Mark: Improve/Invest or Divest
  • Cash Cow: Harvest
  • Dog: Divest
<h3>What is the growth-share matrix?</h3>

The reasoning behind the growth share matrix is that market leadership yields greater profits that are sustainable. In the end, the market leader achieves a cost advantage that is difficult for rivals to match. The markets with the highest development potential are then indicated by these high growth rates.

Each of the four quadrants reflects a particular ratio of growth and market share relative to other quadrants:

  • High Share, Low Growth. Businesses should harvest the cash from these "cash cows" to reinvest.
  • High Growth, High Share. Because of their tremendous future potential, businesses should heavily invest in these "stars."
  • Low Share, High Growth. Depending on their prospects of becoming stars, businesses should either invest in or ignore these "question marks."
  • Low Growth, Low Share. These "pets" should be liquidated, divested, or repositioned by businesses.

To learn more about growth-share matrix visit:

brainly.com/question/26425181

#SPJ4

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2 years ago
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ratelena [41]

Answer:

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Explanation:

M2 = Currency + Money market mutual fund + Time deposits + Saving deposits

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All else constant a large decrease in the number of people who want to own a sport utility vehicle because of their poor fuel ef
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Answer:

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