32

A company is trying to decide whether to buy a new delivery truck to replace their old one. The old truck originally cost $32,000. The new truck will cost $45,000. If they buy the new truck, they will sell the old truck to a used truck dealer for $4,000. Based on the information given, what is the immediate total incremental cost or benefit of buying the new truck? (Indicate a net benefit as a positive number and a net cost as a negative number.)

A garage band wants to hold a concert. The expected crowd is 2,100. The average expenditure on concessions is $35. Tickets sell for $30 each, and the band's profit is 85% of the gate and concession sales minus a fixed cost of $20,000. Develop a mathematical model and implement it on a spreadsheet to find the band's expected profit.

Katherine D’Ann is planning to finance her college education by selling programs at the football games for State University. There is a fixed cost of $400 for printing these programs, and the variable cost is $3 each program. There is also a $1,000 fixed fee that is paid to the University for the right to sell these programs. If Katherine is able to sell each program for $5, how many would she have to sell in order to break even?

Your friend would like to add an addition to the home. The home was originally purchased for $175,000. The addition would cost $38,000. You expect the addition can improve its value by 4% 1. What is the ROI (write as a percentage)? 2. Is it a good idea (Yes or No, based on ROI)?

The College is planning a concert.  Maximum capacity for the concert venue is 3,000.  tickets will be sold for $25 per ticket.  The college estimates that costs of producing the concert to be 2,500 plus the cost of the band.   Alternative A a fee of $8,000 and $5 per tickets; or Alternative B - $8.00 per ticket sold Question 1.  If you expect to see 3,000 tickets, which alternative produces the highest profit?

Lake McDonald Gift Shop has decided to price the games that it sells at cost plus 80%. The National Parks Memory Card Game costs $5.00 each, and another one, the Guess This Animal Track Game, costs $5.00 each. Required: 1.  What price will Lake McDonald Gift Shop charge for each National Parks Memory Card Game? If required, round your answer to two decimal places.$fill in the blank 1 2.  What price will Lake McDonald Gift Shop charge for each Guess This Animal Track Game? If required, round your answer to two decimal places.$fill in the blank 2

Kyle, a local entrepreneur, is planning to sell 10 liter bottled water in his sari- sari store. A local water purifying business in the city sells their 10 liter bottled water for 20 pesos each. Kyle wants to add 25 percent markup from the original cost of 10 liter bottled water. Calculate how much mark-up Kyle should add. Determine how much should be the selling price for 10 liter bottled water.

??

Suppose your company sells a 3 pack of lenses that attach to smart phones to improve the quality of pictures people take.  You pay 29.95 for each 3 Pack and sell them for 59.95.  What is hyour Cost of Goods Sold Perrcentage for htis item? Suppose you sell 8,000 of the 3 pack of lenses described in question 3 above in one year.  Your cost on each 3 pack is 29.95 and you sell them for 59.95.  If your operating expenses for the year total 144,080, what are your net income and net profit margin percentage?

Direction: Read and understand the given problem. Problem: Rhea is engaged in a buy-and-sell business of signature perfumes. She buys 10 boxes of perfumes. Each box costs 12,000.00 and contains a dozen of perfume bottles. She plans to sell one perfume bottle at P1,500. What is her expected profit on the 10 boxes of perfumes? Note: Getting the difference between the amount of money earned from selling 10 boxes containing a dozen of perfume bottles and the cost of those 10 boxes gives the profit." Еxplore! 1. How much profit does Rhea earn? 2. What do you think of Rhea's business? 3. Is it good for a beginner? Why? 4. What do you think should Rhea do in order to flourish in her business?

Zack wants to sell five items that cost him $1.30, $2.40, $6.60, $13, and $15.70. He wants to make a profit of 60% of the cost. Create a function s(c) that you can use to determine the selling price of each item, and then use the function to calculate each selling price. (Round your answers to the nearest cent.) s(1.30) = $ s(2.40) = $ s(6.60) = $ s(13) = $ s(15.70) = $

Mrs. Tannenbaum is going to sell Christmas tree lights for $40 a box. The lights cost Mrs. Tannenbaum $10 a box and any unsold lights can be returned for a full refund. She is planning to rent a booth at the upcoming Happy Holidays Convention, which offers three options:       1.   paying a fixed fee of $3,000, or       2.   paying a $1,000 fee plus 10% of revenues made at the convention, or       3.   paying 25% of revenues made at the convention.   Which of the following statements is FALSE?       Her decision will determine the risk she faces.     Contribution margin will vary depending upon the option chosen.     One of the options will allow Mrs. Tannebaum to break even, even if she doesn't sell any lights.     Operating income will be the greatest for Option 3.

Ingrid is planning to expand her business by taking on a new product that costs $6.74. In order to market this new product, $1159.00 must be spent on advertising. The suggested retail price for the product is $14.67. Answer each of the following independent questions. (a) If a price of $17.43 is chosen, how many units does she need to sell to break even? (b) If advertising is increased to $1377.00, and the price is kept at $14.67, how many units does she need to sell to break even? CID

A business is considering purchasing a piece of new equipment for $200,000. The equipment will generate the following revenues: Year 1: $50,000 Year 2: $50,000 Year 3: $50,000 Year 4: $60,000 The machine can be sold at the end of the year four for $25,000. Assume a discount of 8%. Based on your above calculations, should they purchase the new piece of equipment? Why?   2. Carl and Melissa have monthly income of $6000. They want to buy a house for $200,000 and make a down payment of $40,000. The monthly payment on a 15-year mortgage will be $2,000 and a 30- year mortgage, the monthly payment will be $1,350. Which of the following would you recommend? Why? A. 15 year option B. 30 year option C. They cannot afford to buy a house at this point

Gloria is planning on opening a cake shop. She has found a location that rents for $15,550 per year and it will cost her another $13,716 to furnish the shop and purchase all the necessary equipment. She plans on charging $20 for a cake and it will cost her $3 per cake for ingredients and $1.92 per cake for decorations and $1.59 per cake for the beautiful, colorful to-go boxes. What is the dollar breakeven point she will need to earn to cover her costs in the first year? Round to the nearest whole number.

Concordia College is planning a concert.  Maximum capacity for the concert venue is 3,000.  tickets will be sold for $25 per ticket.  The college estimates that costs of producing the concert to be 2,500 plus the cost of the band.     Alternative A a fee of $8,000 and $5 per tickets; or  Alternative B - $8.00 per ticket sold   at what tickets sales level will the two proposal provide the same profite of loss result?   2.What is the breakeven point in terms of tickets sold for Alternative A     3. What is the breakeven point in terms of tickets sold for Alternative B (Use the Equation Method)?     4.  If you expect to see 3,000 tickets, which alternative produces the highest profit?

Help

Jordan Entertainment sells souvenir T-shirts at each rock concert that it sponsors. The shirts cost $15 each. Any excess shirts can be returned to the manufacturer for a full refund of the purchase price. The sales price is $26 per shirt. Required a. What are the total cost of shirts and cost per shirt if sales amount to 2,000, 2,500, 3,000, 3,500, or 4,000? b. Is the cost of T-shirts a fixed or a variable cost? Complete this question by entering your answers in the tabs below. Required A Required B What are the total cost of shirts and cost per shirt if sales amount to 2,000, 2,500, 3,000, 3,500, or 4,000? Number of shirts sold Total cost of shirts Cost per shirt 2,000 2,500 3,000 3,500 Required A Required B > 4,000

The Audubon Society at Enormous State University (ESU) is planning its annual fund-raising "Eat-a-thon." The society will charge students 50¢ per serving of pasta. The only expenses the society will incur are the cost of the pasta, estimated at 16¢ per serving, and the $340 cost of renting the facility for the evening. (a) Write down the associated cost function C(x) in dollars. C(x) = Write down the revenue function R(x) in dollars. R(x) = Write down the profit function P(x) in dollars. P(x): = (b) How many servings of pasta must the Audubon Society sell to break even? servings (c) What profit (or loss) results from the sale of 1,500 servings of pasta? $