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Allushta [10]
2 years ago
13

A company is currently selling 10,000 units of product monthly for $40 per unit. The unit contribution margin is $27. The compan

y believes that spending $50,000 per month on advertising will allow them to increase the selling price to $45 and that sales will increase by 750 units per month. The company should ______.
Business
1 answer:
CaHeK987 [17]2 years ago
8 0

Answer:

The company should accept the idea reason been that the profit will increase by $24,000

Explanation:

Calculation to determine What should the company do

First step

Increased CM = [10,750 x (27+(40-45))]- (10,000 x 27)

Increased CM = [10,750 x(27+5)]- (10,000 x 27)

Increased CM = (10,750 x 32) - (10,000 x 27)

Increased CM = $344,000-$270,000

Increased CM = $74,000

Now let calculate the profit

Profit =$74,000-$50,000

Profit=$24,000 Increase

Therefore based on the above calculation The company should accept the idea reason been that the profit will increase by the amount of $24,000

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The aggregate demand curve would shift to the right as a result of A. tax increases. B. a drop in the price level. C. a drop in
UNO [17]

Answer:

. C) a drop in the foreign exchange value of the dollar.

Explanation:

An aggregate demand curve can be regarded as a curve that display total spending that is available

domestic goods/services with respect to their price level. the horizontal axis provide the real GDP while price level is displayed by vertical axis. It should be noted that The aggregate demand curve would shift to the right as a result a drop in the foreign exchange value of the dollar.

6 0
2 years ago
TB MC Qu. 9-371 Irving Corporation makes a product with ... Irving Corporation makes a product with the following standards for
lisov135 [29]

Answer:

Variable manufacturing overhead rate variance= $664 favorable

Explanation:

Giving the following information:

Variable overhead 0.2 hours $ 5.10 per hour

The company used 1,660 direct labor-hours to produce this output. The actual variable overhead cost was $7,802.

<u>To calculate the variable overhead rate variance, we need to use the following formula:</u>

Variable manufacturing overhead rate variance= (standard rate - actual rate)* actual quantity

Actual rate= 7,802/1,660= $4.7

Variable manufacturing overhead rate variance= (5.1 - 4.7)*1,660

Variable manufacturing overhead rate variance= $664 favorable

6 0
3 years ago
Determine whether the statement is true or false. if f is continuous on [a, b], then d dx b f(x) dx a = f(x).
uysha [10]

The correct answer is option (b) False.

Differentiation:

Differentiation is a technique for determining a function's derivative. Differentiation is a mathematical procedure for determining the instantaneous rate of change of a function depending on one of its variables.

Explanation:

Given:

A statement is given "If f is continuous on

[a,b], then ddx(∫baf(x)dx)=f(x)".

The objective of the question is to determine whether the statement is true or false and why.

It is known that the value of a definite integral of a function is always a constant. So, ∫baf(x)dx

is a constant.

It is also known that the derivative of a constant is always equal to 1. Therefore, the correct equation is ddx(∫baf(x)dx)=1.

Thus, the given statement is false.

To know more about integration visit

brainly.com/question/20436567?

#SPJ4

8 0
2 years ago
Pizza Pier retires its 8% bonds for $70,100 before their scheduled maturity. At the time, the bonds have a face value of $72,100
mariarad [96]

Answer: Please refer to Explanation

Explanation:

DR Bonds Payable ............... $ 72,100

DR Premium on Bonds Payable (74,950 - 72,100) ...... $2,850

CR Cash ...................................... $70,100

CR Gain on Discharge of Bonds ($74,950 - $70,100) $4,850

(To record retirement of premium bond before time)

If you need any clarification do comment.

5 0
3 years ago
In what form do households receive income from labor within a resource market?
bazaltina [42]
They receive income by wages
6 0
3 years ago
Read 2 more answers
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