PLEASE ANSWER!!!!!!

Assume you are the new Product Manager in our Amazon Prime business and are in charge of Pricing. The VP would like to lower the

vaieri [72.5K]

Answer:

Provided in Explanation

Explanation:

This is a very general question however I’ll try to answer it to the best of my knowledge.

If I use my own assumptions then these will be the Projections:

Selling Price $79.99 Selling Price $69.99

Cost of Sales/unit $40.00 Cost of Sales/unit $40.00

Expenses/unit $15.00 Expenses/unit $15.00

Demand @ $79.99 1000 Demand @ $69.99 1200

Sales $79,990.00 Sales $83,988.00

Cost of Sales $40,000.00 Cost of Sales $48,000.00

Expenses $15,000.00 Expenses $18,000.00

Profit $24,990.00 Profit $17,988.00

The final decision however relies on the Price Elasticity of the Product. If the Product is Price elastic then lowering the Price will lead to a significant rise in Demand. However if the Product is Price inelastic then lowering the Price will not lead to a significant rise in Demand and thus profit margins will be lowered. If the Product is Price inelastic then it is better to increase prices in order to gain more profits. In the case of Unit Elasticity the change in Demand will be at the same proportion as price change so it won’t be of any use to change the Price.

3 0

3 years ago

The Charade Company is preparing its Manufacturing Overhead budget for the fourth quarter of the year. The budgeted variable fac

In-s [12.5K]

Answer:

the total budgeted factory overhead for November is : 2) $110,000.

the budgeted direct labor hours for December must be : 3) 9,000 hours.

total budgeted factory overhead per direct labor hour is : 1) $14.38

Explanation:

To determine the budgeted factory overhead for November, prepare a budgeted factory overhead for November as follows :

November

Budgeted Variable factory overhead ($5.00 × 7,000 hours) = $35,000

Budgeted Fixed factory overhead = $75,000

Total budgeted factory overhead = $110,000

December

Total Cash Disbursements = $105,000

Less Budgeted Fixed factory overhead ($75,000 - $15,000) = $60,000

Budgeted Variable factory overhead = $45,000

Therefore, budgeted direct labor hours = $45,000 / $5.00

= 9,000 hours.

December

Budgeted Variable factory overhead ($5.00 × 8,000 hours) = $40,000

Budgeted Fixed factory overhead = $75,000

Total budgeted factory overhead = $115,000

Therefore, total budgeted factory overhead per direct labor hour = $115,000 / 8,000 hours = $14.375

Which is $14.38 (rounded)

3 0

3 years ago

which will typically decrease with large number of units produced, fixed costs, total variable costs, fixed cost per unit, varab

Nady [450]

Answer:

fixed cost per unit,

Explanation:

Fixed cost is cost that does not vary with output. It remains constant regardless of the units of output produced. An example of fixed cost is rent.

fixed cost per unit = fixed cost / output

Let us assume that rent (fixed cost) is $500. When output is 1 unit, fixed cost per unit = $500 / 1 = $500

when output is 2 units, fixed cost per unit = $500 / 2 = $250

when output is 10 units , fixed cost per unit = $500 / 10 = $50

4 0

3 years ago

term fixed price contract to build an office tower for $10,000,000. In the first year of the contract Tullis incurs $3,000,000

almond37 [142]

Answer: $750,000

Explanation:

Given that,

Fixed price contract = $10,000,000

Cost incurred in the first year = $3,000,000

Remaining costs to complete = $5,000,000

Tullis billed = $4,000,000 in year 1

Collected by the end of the year = $3,500,000

Percentage of work completed = $\frac{Expenditures\ Incurred\ from\ Inception\ to\ Date}{Total\ Estimated\ Costs\ for\ the\ Contract}$

= $\frac{3}{8} \times 100percent$

= 37.5%

Revenue recognized = 37.5% of $10,000,000

= $3,750,000

Income recognized = Revenue recognized - Cost incurred in the first year

= $3,750,000 - $3,000,000

= $750,000

8 0

3 years ago

Daniel is resigning from his position as a marketing specialist and would like a permanent record of her official resignation. W

Damm [24]

Answer:

a. Letter

Explanation:

A letter is written communication from one party to another. Letters are written on a designated paper, put in an envelope and send either by post or hand-delivered.

A letter can be formal or informal. Daniel should write a formal letter to his boss informing him of his resignation. Should Daniel write a letter, It will an official document in the company. The company will be file the document appropriately and will stay intact for many years.

Daniel can also keep a copy of the letter for himself. A letter has an advantage over the other electronic options. Electronic records can be deleted permanently or get lost should the systems collapse.

4 0

3 years ago