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2 years ago

6

a manufacturer conducts marketing research and estimates that consumers will accept a price of $50 for a pair of sunglasses. if

the manufacturer expects to offer trade discounts of 40/10 to retailers and wholesalers, what price will the manufacturer receive for the sunglasses?

1 answer:

DENIUS [597]2 years ago

3 0

Answer:

72983

Explan my not telling

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One method of setting price using the cost-plus method is to add

Amiraneli [1.4K]

Cost-plus pricing<span>, also known as mark-up </span>price<span>, takes place when a firm calculates its unit costs and then adds a percentage profit to determine </span>price<span>.</span>

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3 years ago

Define bank run in your own words.

lina2011 [118]

Answer:

A bank run occurs when a large number of customers of a bank or other financial institution withdraw their deposits simultaneously over concerns of the bank's solvency. As more people withdraw their funds, the probability of default increases, prompting more people to withdraw their deposits.

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3 years ago

Explain why a relative price is an opportunity cost. The money price of a pound of bananas is $0. 90 and the money price of a tu

dimaraw [331]

The opportunity cost is stated in relative pricing, that is, the price of one option in comparison to another.

When there are numerous vendors in a market but no one is significant enough to control the price of a product. Because both items must be produced, the relative price must match the opportunity cost. If the opportunity cost of one good is lower in the home country than so will be the relative price.

As bananas cost $0.90 per kg, so, if a toothpaste is for $2.25, we are forgoing 2.25 kgs banana (2.25/0.9). Thus, the opportunity cost is 2.5 kg bananas which is equal to the relative price of bananas.

Therefore, relative price is an opportunity cost.

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2 years ago

A property is projected to generate cash flows of $10,000, $12,000, $15,000, and $17,000 at the end of year 1, 2, 3, and 4, resp

aliina [53]

Answer:

Total present value= $100,401.36

Explanation:

Giving the following information:

A property is projected to generate cash flows of $10,000, $12,000, $15,000, and $17,000 at the end of year 1, 2, 3, and 4, respectively. The expected sale price for the property at the end of year 4 is $100,000.

We need to apply the following formula to each cash flow:

PV= FV/(1+i)^n

Cf1= 10,000/1.13= 8,849.56

Cf2= 12,000/1.13^2= 9,397.76

Cf3= 15,000/1.13^3= 10,395.75

Cf4= (17,000 + 100,000)/1.13^4= 71,758.29

Total= $100,401.36

3 0

3 years ago

Tunneling Inc. fixed costs are at $100,000. The company has sales of 10,000 units with a price of $84 and variable cost per unit

zubka84 [21]

Answer:

Tunneling Inc.

Degree of operating leverage

= Contribution Margin divided by Operating Income

= $440,000/$290,000 = 1.52

Explanation:

(a) Data and Calculations:

Sales Revenue = $840,000 (10,000 x $84)

Variable cost = $400,000 (10,000 x $40)

Contribution = $440,000

Fixed costs = $100,000

Depreciation = $50,000

Operating Income = $290,000

Tax (21%) ($60,900)

Net Income = $229,100

(b) The degree of operating leverage for Tunneling Inc. is 1.52. It shows the financial impact of a change in sales revenue on Tunneling Inc.'s earnings. Analysts usually work this ratio out to determine this important effect.

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4 years ago