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3 years ago

Cox Electric makes electronic components and has estimated the following for a new design of one of its products:

Business

1 answer:

vfiekz [6]3 years ago

3 0

Answer:

a) attached below

b) P( profit ) = TR(q) - TC(q)

c) attached below

d) -$5000 ( loss )

Explanation:

Given data:

Fixed Cost = $10,000

Material cost per unit = $0.15

Labor cost per unit = $0.10

Revenue per unit = $0.65

a) Influence diagram to calculate profit

attached below

b) derive a mathematical model for calculating profit.

VC = variable cost per unit , LC = per unit labor cost , MC = per unit marginal cost, TC = Total cost of manufacturing , FC = Fixed cost, q = quantity, TR = Total revenue, R = revenue per unit

VC = LC + MC

TC (q) = FC + ( VC * q )

TR (q) = R * q

P( profit ) = TR(q) - TC(q) ------------ ( 1 )

c) attached below

d) If Cox Electrics makes 12,000 units of the new product

The resulting profit = -$5000

q = 12

P = TR ( q ) - TC ( q )

= ( R * q ) - ( Fc + ( Vc * q ) )

= ( 0.65 * 12000 ) - ( 10,000 + ( 0.25 * 12000 )

= -$5200

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Recent financial statement data for Harmony Health Foods (HHF) Inc. is shown below.

MissTica

Answer:

1. B. 3.14

2. C. 1.12

Explanation:

1. Times Interest Earned ratio

Measures how well a company is able to cover it's debt obligations using it's earnings.

The formula is simply,

= Earning before Interest and Tax / Interest Expense

Therefore,

Times Interest Earned ratio = 116/37

= 3.14

HHF's times interest earned ratio is Option B, 3.14.

2. Debt to Equity Ratio

This ratio compares the debt used to fund a company vs it's equity. It measures how much of either way used to fund the company.

The formula is,

= Total Debt / Total Equity

= 540/484

= 1.12

HHF's Debt to Equity ratio is 1.12, Option C.

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An elderly physician has built up his own practice into a quite valuable business. Now that he is thinking of retiring, he wants

inn [45]

Answer:

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The u.s. department of commerce developed a(n) ________ framework in order to enable u.s. businesses to legally use personal dat

AlexFokin [52]

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3 years ago

As the full-time bookkeeper, your job is to make any corrections to the general ledger accounts. Each correction needs the reaso

igomit [66]

Answer: See explanation

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3 years ago

All quality social media creation for a business has some cost attached to it, therefore business managers have many factors the

BartSMP [9]

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