Machine A has a fixed cost of P40,000 per year and a variable cost of P6 per unit. Machine B has an unknown fixed cost but with this process, 250 units can be produced each month at a total variable cost of P2,000. If the total costs of the two machines break-even at a production rate of 2000 units per year, what is the total fixed cost of Machine B?

Q: A machine manufacturer sells each machine for $6,900. The fixed costs are $287,450 per annum,…

A: The break-even volume is the level of sales of a company in terms of the number of units sold, which…

Q: 2. A company produces deluxe widgets. It has a capacity of 280,000 units per year. The fixed annual…

A: Capacity = 280,000 unitsFixed cost = $4,000,000Sale price = $50MARR = 15%

Q: A rotational molding operation has fixed costs of $6.000 per year and variable costs of $54 per…

A: cost per unit formula: cost per unit =fixed costunits+variable cost per unit Both the process will…

Q: A firm has fixed costs of $74,000 per year, a price per unit of $45 and an accounting break-even…

A: Break even point (BEP): Breakeven is the point where total expenses are equal to total revenue. at…

Q: Alia Co. can further process Product X to produce Product Y. Product X is currently selling for $20…

A: Step 1: Definition of Differential Cost:If a company is faced with two or more alternatives, the…

Q: Plymouth Corp. sells units for $108 each. Variable costs are $41 per unit, and fixed costs are…

A: The level of production at which leasing and not leasing the new machine will be indifferent is…

Q: Using the following balance sheet and income statement data, what is the debt to assets ratio? $ 2$…

A: Debt to assets ratio means ratio between total debt and total assets in the business.

Q: am tubs per month. Each tub costs $10 in the market while the producer faces variable co tub. (a)…

A: Break even point production level is where there is no profit and no loss for Company.

Q: units per year of a key component for its manufacturing process. Variable costS $4.05 per unit,…

A: Should the Goldberg Company make the part or purchase it from an outside supplier? The answer is the…

Q: ABC company sells its products for $16 per item. The fixed cost of the company are 240000 per year…

A: A decision based upon the break-even point is one of the decisions which is used by the management…

Q: Two different manufacturing processes are being considered for making a new product. The first…

A: The break-even point is like a tipping balance in business. It’s the moment when you cover all your…

Q: LEGO is producing a new brick set and plan on selling it for $120. The fixed costs are $500,000 and…

A: 1. Selling Price per Set: $1202. Fixed Costs: $500,0003. Variable Costs per Set: $804. Break-Even…

Q: Glberto Company currently manufactures 78,000 units per year of one of its crucial parts. Varlable…

A: Incremental Cost:- Incremental cost is defined as the cost that is incurred due to producing one…

Q: Process A has a fixed cost of $16,000 per year and a variable cost of $40 per unit. For process B, 5…

A: We have been given that ,  For process A   Fixed costs = $16,000 variable costs = $40 / unit   For…

Q: Kent Company manufactures a product that sells for $54.00. Fixed costs are $341,000 and variable…

A: The objective of this question is to determine the effect of purchasing a new machine on the…

Q: Currently, you sell 1,000 units of product A per month at a price of $40 per unit. The variable…

A: Solution...    Unit variable cost  = Direct material + Direct labor + Variable overhead  = $10 + $4…

Q: A company faces fixed costs of $100,000 and variable costs of $8.00/unit. They plan to directly sell…

A: Break-even point :— It is the point of production where total cost is equal to total revenue. At…

Q: Flanders Manufacturing is considering purchasing a new machine that will reduce variable costs per…

A: The break even sales are the sales at point when business earned no profit or loss

Q: (1) A company sells its products for $50 per unit. It has annual fixed cost of $300,000 and variable…

A: The contribution margin per unit is calculated by subtracting the variable cost per unit from the…

Q: LEGO is producing a new brick set and plan on selling it for $120. The fixed costs are $500,000 and…

A: 1. Selling Price per Set: $1202. Fixed Costs: $500,0003. Variable Costs per Set: $804. Break-Even…

Q: A rotational molding operation has fixed costs of $10,000 per year and variable costs of $52 per…

A: Rotational molding process: Fixed costs = $10,000 Variable costs per unit = $52 Automation process:…