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MissTica
3 years ago
9

. A tomato farmer has used direct distribution to sell to local consumers through an area farmers' market. Last year, she sold 4

00 bushels of tomatoes at $2.49 a pound. (There are 53 pounds in a bushel of tomatoes.) This year she is considering using an indirect channel by selling to two area supermarkets. She estimates that she can sell 650 bushels at $1.63 a pound. What will be the difference in revenue if she makes the change? What other factors should the farmer consider before changing to indirect distribution?
Business
1 answer:
ch4aika [34]3 years ago
3 0

Answer:

the farmer's total revenue when she uses the direct channel = 400 x $2.49 = $996

if she uses the indirect channel, her total revenue = 650 x $1.63 = $1,059.50

her total revenue will increase when selling to he supermarkets, but also her variable production costs will increase. This means that it is probable that her total contribution margin decreases even if total revenue decreases.

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Answer:

Variability

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3 years ago
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Answer:

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Explanation:

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3 years ago
Stefani Company has gathered the following information about its product. Direct materials: Each unit of product contains 4.50 p
vodomira [7]

Answer:

The right solution is "$78.55".

Explanation:

The given values are:

Material cost,

= $5 per pound

Average freight costs,

= $0.25 per pound

Downtime average,

= 0.40 hours per unit

According to the question,

The direct material cost per unit will be:

=  ((4.5+0.5)\times 5\times 0.98)+(0.25\times (4.5+0.5))

=  (5\times 5\times 0.98)+(0.25\times 5)

=  24.5+1.25

=  25.75 ($)

The direct labor will be:

=  ((2.0+0.4)\times 12)+(3\times (2.0+0.4))

=  28.8+7.2

=  36 ($)

Manufacturing overhead will be:

=  (2.0+0.4)\times 7

=  2.4\times 7

=  16.8 ($)

hence,

The standard cost per unit will be:

=  Direct \ material+Direct \ labor+Manufacturing \ overhead

=  25.75+36+16.8

=  78.55 ($)

7 0
3 years ago
If Company A has a shareholders' deficit, which of the following can it do to improve its debt-to-equity ratio?
sertanlavr [38]

Answer:

sell off part of its inventory and or equipment

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Debt/Equity=  

Total Shareholders’ Equity /

Total Liabilities

​  

​

6 0
3 years ago
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Keith_Richards [23]

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