The inflation rate is the

Funtime Quadcopters plans to sell a standard quadcopter (toy drone) for $ 55 and a deluxe quadcopter for $ 85. Funtime purchase

brilliants [131]

Answer:

Funtime must sell 510 standard quadcopters and 340 deluxe quadcopters every month to breakeven.

Funtime must sell 840 standard quadcopters and 560 deluxe quadcopters to earn $ 7,700 monthly.

Explanation:

A. To breakeven, the revenue must equal the total costs.

1. Write the expresssion of revenue

Revenue = price × number of units

Revenue from standard quadcopter

Naming s the number of standard quadcopters sold:

$55 × s = 55s

Revenue from deluxe quadcopter

Naming d the number of deluxe quadcopters sold:

$85 × d = 85d

Total revevue:

55s + 85d

2. Write the expression of cost

Purchase price of standard quadcopters

$45s

Purchase price of deluxe quadcopters

$65d

Fixed monthly expenses

$11,900

Total cost:

45s + 65d + 11,900

3. Relation between number of deluxe quadcopters and standard quadcopters

Two deluxe quadcopters for every three standard quadcopters

d = (2/3)s

4. Substitute d with (2/3)s in the expressions, writhe the equation and solve

Revenue = 55s + 85(2/3)s

Cost = 45s + 65(2/3)s + 11,900

Revenue = Cost

55s + 85(2/3)s - 45s - 65(2/3)s - 11,900 = 0

Multiply the equation by 3, to eliminate the denominators:

165s + 170s - 135s - 130s - 35,700 = 0

Add like terms and add 35,700 to both sides

70s = 35,700

Divide by 70

s = 510

Substitue s in d = (2/3)s

d = (2/3)510 = 340.

Therefore, Funtime must sell 510 standard quadcopters and 340 deluxe quadcopters every month to breakeven.

B. To earn $7,700

Profit = revenue - cost

7,700 = 55s + 85(2/3)s - 45s - 65(2/3)s - 11,900

Add 11,900 to both sides

19,600 = 55s + 85(2/3)s - 45s - 65(2/3)s

Mutliply the equation by 3:

58,800 = 165s + 170s - 135s - 130s

Do the operations:

58,800 = 70s

s = 58,800 / 70 = 840

d = (2/3)840 = 560

Hence, Funtime must sell 840 standard quadcopters and 560 deluxe quadcopters to earn $ 7,700 monthly.

6 0

3 years ago

An increase in net exports causes GDP to increase. causes an increase in imports of the same size. can cause GDP to either incre

Delicious77 [7]

Answer:

GDP to increase

Explanation:

Gross domestic product (GDP) refers to the total value of goods and services produced within the boundaries of a nation. Its component are consumption, investment, government expenditure and net exports.

GDP = Y = Consumption + Investment + Government expenditure + Net exports

Net exports refers to the difference of total value of exports and total value of imports.

Net exports = Exports - Imports

Therefore, if there is an increase in the net exports then as a result the GDP of a nation increases.

3 0

4 years ago

Suppose that the MPC is 0.7, there is no investment accelerator, and there are no crowding-out effects. If government expenditur

GarryVolchara [31]

Answer:

a. shifts rightward by $100 billion

Explanation:

Step 1. Given information.

MPC = 0.7

Step 2. Formulas needed to solve the exercise.

Impact in the aggregate demand = 1 / (1-mpc) * total increase expenditures.

Step 3. Calculation.

Impact in the aggregate demand = 1 / (1-0.7) * 30 million = 100 billion

Step 4. Solution.

What actually occurs is that if government increases its expenditures, this means that the output levels in the economy will increase.

Thus, aggregate demand curve will shift right the overall increase by 100 billions.

4 0

4 years ago

n May 5, 2013, Jill purchased equipment for $40,000 to be used in her business. She did not elect to expense the equipment under

kolbaska11 [484]

Answer:

$1,784

Explanation:

Cost recovery shall be worked out=$40,000*8.92%=$3,568*1/2=$1,784

The cost recovery can only be claimed on assets having useful life more than one year in income tax return. The said deduction can be claimed through form 4562 and the same will be attached in annual income tax return proforma.

4 0

3 years ago

Widgeon Co. manufactures three products: Bales, Tales, and Wales. The selling prices are $55, $78, and $32, respectively. The va

bonufazy [111]

Answer:

b. $34,000.

Explanation:

The computation of contribution margin is shown below:-

Particulars Bales Tales Wales

Seeling price $55 $78 $32

Variable cost $20 $50 $15

Contribution

margin $35 $28 $17

Required hour to

process 5 7 1

Contribution margin

per hour 7 4 17

Maximum contribution margin is

= Contribution margin per hour × number of machine hours

= 17 × 2,000

= $34,000

8 0

3 years ago