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Delvig [45]
3 years ago
8

Ruben is a travel agent. He intends to sell his customers a special round-trip airline ticket package. He is able to purchase th

e package from the airline for $160 each. The round-trip tickets will be sold for $200 each and the airline intends to reimburse Ruben for any unsold ticket packages. Fixed costs include $5,200 in advertising costs. How many ticket packages will Ruben need to sell to break even
Business
1 answer:
mars1129 [50]3 years ago
7 0

Answer:

He would need to sell 130 ticket packages to break even

Explanation:

Breakeven quantity are the number of  units produced and sold at which net income is zero

Breakeven quantity = fixed cost / price – variable cost per unit

Variable cost is cost that varies with output. If output is zero, no variable cost would be incurred.  

Fixed cost is cost that does not vary with output.

\frac{5200}{200 - 160}

\frac{5200}{40} = 130

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Game theory is necessary to understand which kinds of markets? (i) perfectly competitive (ii) monopolistically competitive (iii)
Karo-lina-s [1.5K]
Competitive markets is the answer
3 0
3 years ago
Accounts receivable from sales transactions were $45,323 at the beginning of the year and $67,072 at the end of the year. Net in
leonid [27]

Answer:

a.$121,375

Explanation:

Increase in account receivable means there is more credit sales were made during the year than the cash received from the customers. So, cash will be used in the period by account recivables.

According to indirect method cash flow will be adjusted as follows

Net Income                                            $143,124

Net Increase in Rceivables                  ($21,749)

( $67,072 - $45,323)                            <u>                 </u>

Cash Flow from Operating Activites   <u> $121,375</u>

8 0
3 years ago
Read 2 more answers
The quality certification that deals primarily with conformance to customer requirements is ISO ________; ISO ________ is concer
sashaice [31]

The quality certification that deals primarily with conformance to customer requirements is ISO <u>9000</u>; ISO <u>14000</u> is concerned primarily with the organization's effect on the environment.

<u>Explanation:</u>

A collection of global quality management and quality assurance standards designed to help businesses efficiently document the components of the quality system required to maintain an effective quality system, understood as ISO 9000. These are not industry specific, and can be extended to organizations of any scale.

The collection of specifications for environmental management generated and published by the International Organization for Standardization is known as ISO 14000 principles, which offer guidelines or structure for organizations seeking to systematize and develop their initiatives in environmental management.

8 0
4 years ago
Maurice Corporation has two major business segments; Philippe and Chip. In April, the Philippe business segment had sales revenu
kati45 [8]

Answer:

b.) $140,000

Explanation:

The computation of the segment margin is shown below:

Sales Revenue                                                 $500,000

Less: Variable Expenses                                 ($280,000)

Contribution Margin                                        $220,000

Less: Traceable fixed Expenses                     ($80,000)

Segment margin                                             $140,000

By deducting the variable expense from the sales we can get the contribution margin and after that the fixed cost is deducted from the contribution margin so that the segment margin could come

3 0
3 years ago
Chaz Denver Company has identified that the cost of a new computer will be $40,000, but with the use of the new computer, net in
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Answer:

The formula for cash payback period is

Initial Investment/Net cash inflow from the investment

So in this case the initial investment is $40,000 and the cash flow increased by the computer is $5,000 so in order to find the cash payback period we will divide 40,000 by 5,000

40,000/5,000=8

The cash payback period is 8 years for the investment in the computer

In this case we ignored the depreciation expense as it is a non cash expense.

Explanation:

5 0
4 years ago
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