Night Shades Inc. (NSI) manufactures biotech sunglasses. These sunglasses sell for $150each, and cost $70 each to produce. Night Shades Inc. has fixed costs of $100,000.a. Calculate Night Shades' Breakeven point.b. how much profit (loss) will Night Shades have if it sells 500 sunglasses? 4,000sunglasses?c. Night Shades' manager expects an operating profit of $200,000, How many sunglassesmust be sold to attain this profit?

A situation at which a company neither earns profit nor bears any loss or a situation at which the…

Answered: Night Shades Inc. (NSI) manufactures…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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There are two competing alternatives in your textile business. A-type Tufting Machine costs $10,000 and B-Type Tufting Machine costs $35,000. A-type Tufting Machine can result in $11,000 labour savings in the first two years and $10,000 in year three. B-type Tufting Machine can result in $20,000 labour savings in the first two years. Assume MARR=8%. and find the difference between the net present worth of these two alternatives using infinite planning horizon with project repeatability. a) None of the answers are correct O b) Between $19,176 and $20,367 c) Between $29,176 and $30,367 d) Between $17,176 and $18,367 e) Between $23,176 and $24,367 f) Between $25,176 and $26,367
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Alberto Technologies, manufacture and sells an electronic control device for $297. It has costs of $231 to manufacture it. A competitor is bringing a new electronic control device to market that will sell for $253. Marketing manager at Alberto believes it must lower the price to $253 to compete in the market for electronic control device. Marketing manager believes that the new price will cause sales to increase by 12%, even with a new competitor in the market. Alberto's sales are currently 6,000 units per year. What is the target cost per unit if the target operating income is 25% of sales
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