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Vika [28.1K]
3 years ago
8

Green Co. produces only Product Z. As part of the annual budgeting, Green is considering whether to produce a new product. Green

's CFO obtained information from various departments within the company. The plant manager expected the following costs would be incurred in producing the new product: Direct materials $1 per unit Direct labor $100 per hour Fixed cost $55,000 The marketing manager decided to spend $2 per unit for the first 5,000 items sold with no additional costs after that. The marketing manager confirmed that the current market price for the new product was $4,000 per 1,000 units. The plant manager told the CFO that the employees would be able to produce 500 units per hour. Approximately how many units would Green have to sell to break even?
Business
1 answer:
RSB [31]3 years ago
7 0

Answer:

Total units= 23214

Explanation:

Giving the following information:

Direct materials $1 per unit

Direct labor $100 per hour (100/500 units= $0.2)

The marketing manager decided to spend $2 per unit.

Fixed cost $55,000

Price= $4,000/1,000 units= $4.

First, we will determine the effect of the first 5000 (with the mkt expense) on the fixed costs:

5000*[4-(1+0.2+2)]= 4000 - 55000= 51000

Break-even point= fixed costs/ contribution margin

Break-even point= 51000/ [4-(1+0.2)]= 18214 units

Total units= 23214

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It represents the Integration stage

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After the money launderer conceals the illegal money through bank deposits or purchasing a life insurance policy at the Placement stage, the launderer then proceeds to further break the money into smaller amounts to evade suspicion by numerous transactions and bank deposits at the Layering stage, which is then ended by partial or whole surrenders of life insurance policies to make it now legitimate money.

3 0
3 years ago
When an economy is temporarily operating at an output that is beyond its full-employment rate it means that
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It means that excess demand in resource markets will lead to higher resource prices, which will increase costs and direct the economy toward full employment.

Explanation:

An economy’s full employment output is the highest production level when all available resources are used efficiently. It equals the highest level of production an economy can sustain for the long-run. It is also referred to as the full employment production which results in long term supply of the finished good.

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3 0
3 years ago
Merchandise that arrives in the delivery truck ready to be sold is considereda. Floor-readyb. Lead time synchronized c. Synthesi
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Answer:

The correct answer is letter "A": Floor-ready.

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To what extent is primary product dependency the
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Where:
A is the amount you will have.
P is the money you are investing.
r: is the interest rate (in decimals)
n: number of times the interest is compounded per year
t: time (in years)

The first thing is converting the rate from percentage to decimal: 
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Now we can replace the values in our formula:
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We can simplify the exponents to get:
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After 18 your balance in your bank account will be $288463.33
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