Answer:
B. the set of plans for product, price, place, and promotion that the marketer will use
Cost per unit
(300,000÷15,000)+20=40
Current profit
50×15,000−40×15,000=150,000
Profit change
60×15,000−40×15,000=300,000
units will knoll need to sell for profit to remain the same as before the price change is
(150,000+300,000)÷40=11,250
Answer:
Annual Savings will be ;
Ordering Cost = $2,993.88
Holding Cost = $661.78
Explanation:
First Calculate the Economic Order Quantity (EOQ)
EOQ = √ 2 × Annual Demand × Ordering Cost per Order / Holding Cost per unit
= √ ((2 × 783× 12 × $31) / ($11 × 32%))
= 407
Note : Currently the firm orders at 783 crates per month
Savings in Ordering Cost will be :
Savings = Ordering Cost at Current Quantity - Ordering Cost at EOQ
= (Total Demand / Current Quantity × Ordering Costs) - (Total Demand / Current Quantity × Ordering Costs)
= (9396/783 × $31) - (9396/407 × $31)
= $2,993.88
Savings in Holding Cost will be :
Savings = (Current Quantity - Economic Order Quantity) / 2 × Holding Cost per unit
= (783 - 407) / 2 × ($11 × 32%)
= $661.78
Answer:
Anita uses <em>Consumer Price Index (CPI) </em>as the term to describe the change in the price level from year one to year two.
Explanation:
<em>Since Inflation is measured as the rate of change of those prices from 9% in year 1 to 5% in year 2. The most well-known indicator of inflation is the</em> <em>Consumer Price Index (CPI), which measures the percentage change in the price of a basket of goods and services consumed by households.</em>
<em>Therefore, the Consumer Price Index (CPI) is a measure that examines the weighted average of prices of a basket of consumer goods and services, such as transportation, food, and medical care. It is calculated by taking price changes for each item in the predetermined basket of goods and averaging them</em>
<u>Joshua is right because fixed costs are unavoidable but marginal costs are not.</u>
<u>Explanation</u>:
Decision making plays an important role while considering the development of the organization. The officials in the company should act smartly in making decisions during crucial situation.
<u>Marginal cost </u>is the cost added to the total cost while producing additional units. <u>Fixed cost </u>is the cost of the product that does not change with the increase or decrease in the quantity of the products.
In the above scenario, Jasmine and Joshua were discussing about the cost of the products that are produced in their manufacturing plants. They were discussing about the marginal cost and fixed cost.
