Evaluate the quantity at which revenue equals to costs (break-even point). Assumptions: Fixed cost: 5000 Material costs per item: 2.25 Labor costs per item: 6.5 Shipping costs per 100 items: 200 Price per item: 12.99
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Evaluate the quantity at which revenue equals to costs (break-even point). <use Goal seek>
Assumptions: | |
Fixed cost: | 5000 |
Material costs per item: | 2.25 |
Labor costs per item: | 6.5 |
Shipping costs per 100 items: | 200 |
Price per item: | 12.99 |
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- Assume that the situation can be expressed as a linear cost function. Find the cost function in this case. Marginal cost: $60; 120 items cost $8000 to produce. The linear cost function is C(x)= FEERefer to the pictur ebelow: Find: 1. Total Cost of Product A under ABC System2. Total Cost of Product B under ABC System3. Selling Price per unit of Product B assuming profit margin of 20% above cost4) Determine the missing amounts. Contribution Contribution Unit Selling Price Unit Variable Costs Margin Per Unit Margin Ratio 1. $300 $180 A в 2. $600 C $210 D 3. E F $300 30%
- Management has at its disposal the following information: Revenue function: R =890Q ‒5.5Q2 The profit-maximizing price: P=494 OMR. Then the Profit-maximizing quantity is (............) Units. (write only the number) Answer:2. Complete the table below by filling out the missing values. Provide a solution. Absorption Costing Variable Costing Quantity ? Unit Price Amount Quantity ? Unit Price Amount P 30.00 12.00 Sales ? ? ? Variable CGS 8,000 ? ? ? ? 3.00 2.50 4.00 Fixed Overhead ? ? 10,000 ? ? Variable expenses Fixed expenses ? ? ? ? ? ? ? Profit ? ? ? ?Find the profit maximizing output given the following revenue and cost functions:R(q) = 1000q – 2q2C(q) = q3 – 59q2 + 1315q + 2000
- compute for the following items: d. Contribution margin ratio e. Breakeven point in pesos f. Breakeven point in unit salesThe amount of a units sales price that helps to cover fixed expenses is its ____________________. A. contribution margin B. profit C. variable cost D. stepped costProblem Three: I) Given the revenue function R(x) = x³ + 3x²+ x .Find the average revenue of producing 100 units. II) Given the marginal revenue function MR = -x3+ 2x²+ 4x – 1. Find the revenue function.
- Q-2) Using the quick and dirty method, what is the approximate monthly fixed cost? the approximate variable cost per unit processed? show your computations.46. Revenue, cost, and profit. The price-demand equation and the cost function for the production of HDTVS are given, respectively, by x 9,000 - 30p and C(x) = 150,000 + 30x where x is the number of HDTVS that can be sold at a price of $p per TV and C(x) is the total cost (in dollars) of produc- ing x TVs.To calculate the sales dollars necessary to achieved a desired profit level, the sum of fixed costs plus desired prof it is divided by contribution margin weighted average unit contribution margin contribution margin ratio unit sales price minus unit contribution margin