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Alborosie
2 years ago
10

In each of the following cases, calculate the accounting break-even and the cash break-even points. Ignore any tax effects in ca

lculating the cash break-even. (Do not round intermediate calculations. Round your answers to 2 decimal places, e.g., 32.16.)
Case Unit Price Unit Variable Cost Fixed Costs Depreciation
1 $3,070 $2,475 $7,060,000 $1,550,000
2 96 61 47,000 250,000
3 21 5 2,700 730
Business
1 answer:
Sloan [31]2 years ago
6 0

Answer:

Accounting Break-Even

Case 1 = $14,350   Case 2 = $8,485.71    Case 3 = $214.375

Cash Break-Even

Case 1 = $11,766.67    Case 2 = $1342.86     Case 3 = $168.75

Explanation:

According to the scenario, computation of the given data are as follow:-

Accounting Break-Even = (Fixed Cost + Depreciation Cost) ÷ (Price Unit -Variable Unit)

Case 1 - ($7,060,000 + $1,550,000) ÷ ($3075 - $2,475)

= $8,610,000 ÷ $600

= $14,350

Case 2 - ( $47,000 + $250,000) ÷ ($96 - $61)

= $297,000 ÷ 35 = $8,485.71

Case 3 - ($2,700 + $730) ÷ ($21 - $5)

= $3,430 ÷ $16 = $214.375

Cash Break Even = Fixed Cost ÷ (Price Unit - Variable Unit)

Case 1 - $7,060,000 ÷ ($3075 - $2,475)

= $7,060,000 ÷ $600

= $11,766.67

Case 2 - $47,000 ÷ ($96 - $61)

= $47,000 ÷ $35 = $1342.86

Case 3 - $2,700 ÷ ($21 - $5)

= $2,700 ÷ $16 = $168.75

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Answer:

The correct answer is C

Explanation:

Positive technological change or variation occurs or happen when the business or the firm is able to produce or manufacture more amount of output by using the same amount of inputs or the same output which have the fewer inputs.

The example of positive technological change occurs when the firm or the business installs the faster machinery and makes the firm more profitable through increasing the revenue.

4 0
2 years ago
Jonni has just started with a travel agency and has been offering clients and prospective clients a range of packaged tours. She
weqwewe [10]

Answer:

Co-Creation of value

Explanation:

Various action that increases the worth of business, services and goods is called value creation.

Co-creation of value is a business strategy.  In this strategy  the company encourages and promotes active involvement of the customer] for the creation of customized or on demand products. With co-creation the customers get exactly the type of product they want.  Customer input plays an important role in value co creation.

Some shoe companies allows the customers to give their input so that they can customize the shoe as per the customers needs, it is an example of value co creation.

4 0
3 years ago
President Bigego is running for re-election against Senator Pander. Bigego proclaims that more people are working now than when
maks197457 [2]

Answer:

d. both of them could be telling the truth if the labor force grew faster than employment

Explanation:

The president claims that more people are working, this is a nominal approach, if 5000 people were working at the beginning of his term and now, which is ending it has 5001 people working his statement will be true.

The senator makes a more economic approach, while there are more people employement, we must remember than the labor force grows each day, as more kids finish their studies and jump right into the search of jobs.

So, both statement can be true, example

at beginning

600/6,000 = 10& unemployement

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leaving the office:

1,100/10,000 = 11% unemployement

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UNder this scenario, both are true.

7 0
2 years ago
Colicchio Corporation acquired two inventory items at a lump-sum cost of $60,000. The acquisition included 3,000 units of knife
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Answer:

Explanation:

X001 Sales volum = 3000*$20 = $60,000

X002 Sales volum = 3000*$10 = $30,000

Total $90,000

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Gross profit = Revenue $10,000 - Cost $6670 = $3330 in gross profit

8 0
2 years ago
Read 2 more answers
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Helen [10]
My head hurts reading this...
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2 years ago
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