Please need answer the accounting question Robin Me Blind, Inc. desires to sell a sufficient quantity of her newmagazine (Government Worker) to earn a profit of $80,000. Shebelieves in market-based transfer pricing. If the magazine salesprice is $20, the variable cost per magazine is $12, total fixed costsare $610,000, gold is selling at $1350 per ounce, and Hood Collegeis operating at full capacity, how many units must Bonita Bananasell to earn the $80,000 profit?

Step 1: Introduction to the Sales of a Target ProfitIn business, the cost-volume-profit analysis…

Answered: Robin Me Blind, Inc. desires to sell a…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter10: Short-term Decision Making

Section: Chapter Questions

Problem 5EA: Shelby Industries has a capacity to produce 45.000 oak shelves per year and is currently selling...

See similar textbooks

Similar questions

can you please help me figure this out
Saran Company has contacted Truckel with an offer to sell it 5,000 of the wickets for $18 each. If Truckel makes the wickets, variable costs are $16 per unit. Fixed costs are $8 per unit; however, $5 per unit is unavoidable. Should Truckel make or buy the wickets? a. Buy; savings = $15,000 b. Buy; savings = $5,000 c. Make; savings = $10,000 d. Make; savings = $5,000
Calculate the number of package tours that must be sold to break even.The general manager at Lifetime Escapes proposes to increase the price of the package tour to $8,200 to decrease the breakeven point in units. Using information in the original problem, calculate the new breakeven point in units. What factors should the general manager consider before deciding to increase the price of the package tour?
Your organization sells tables for $200 each. The fixed cost is $25,000 per annum with current demand at 700 tables per annum. Each table has a direct material cost of $65 and direct labour cost of $83. Required: A. I) what is profit based on the current demand? i) How many tables should be sold to get a profit of $5,000? A. The organization is considering two alternative proposals. i. Reducing selling price by 15% which is expected to increase demand by 10% ii. Increase selling price by 5% which is expected to reduce demand by 10% What will be the profits or loss under each alternative proposal?
4. Pacific Decor, Inc, designs, manufactures,and sells contemporary wood furniture. Ling Li is a furniture designer for Pacific. Li has spent much ofthe past month working on the design of a high-end dining room table. The design has been well-received byJose Alvarez, the product development manager. However, Alvarez wants to make sure that the table canbe priced competitively. Amy Hoover, Pacific's cost accountant, presents Alvarez with the following costdata for the expected production of 200 tables: Design cost $ 5,000 Direct materials 120,000 Direct manufacturing labor Variable manufacturing overhead Fixed manufacturing overhead 142,000 64,000 46,500 Marketing 15,000
Suppose that Lou sells 9,000 wheels each month to outside customers. If the transfer pricing formula is used to find the transfer price, what is the appropriate price per wheel? A. P29.50 B. P31.75 C. P39.25 D. P42.00
Night Shades Inc. (NSI) manufactures biotech sunglasses. These sunglasses sell for $150 each, 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? 4,000 sunglasses? c. Night Shades' manager expects an operating profit of $200,000, How many sunglasses must be sold to attain this profit?
Pederson Enterprises produces giant stuffed bears. Each bear consists of $12 of variable costs and $9 of fixed costs and sells for $45. A wholesaler offers to buy 6,000 units at $14 each, of which Pederson has the capacity to produce. Pederson will incur extra shipping costs of $1 per bear. What is the incremental income or loss that Pederson Enterprises would realize by accepting the special order? Should Pederson Enterprises accept the special order? lyi HH 99+
Night Shades Inc. (NSI) manufacturers biotech sunglasses. These sunglasses sell for $150 each, 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? 4,000 sunglasses?c. Night Shades' manager expects an operation profit of $200,000. How many sunglasses must be sold to attain this profit?
Clockmaker Ltd. makes a product called wallet. Managers from Clockmaker Ltd. want to achieve a profit of £82, 800. The wallet price equals £82 per unit. Each unit of wallet has a cost of £36 and annual total fixed costs equal £147, 200. Considering this information, which of the following statements is true? O a. To achieve the desired profit, Clockmaker Ltd. needs to sell 5, 000 units of wallet. O b. Clockmaker Ltd. would need to sell more than 3, 200 units of wallet to have positive profits. O c. Contribution per unit equals £46. O d. All the answers are true.
Marikina Shoe Manufacturing Company will produce a special-style shoe if the order size is large enough to provide a reasonable profit. For each special -style order, the company incurs a fixed cost of P20,000 for the production set up. The variable cost is P600 per pair, and each pair sells for P800. a. Let x indicate the number of pairs of shoes produced. Develop a mathematical model for total cost of producing x paiars of shoes. b. Let P indicate the total profit. Develop a mathematical model for the total profit realized from an order for x pairs of shoes. c. How large must the order be for Marikina to breakeven?
1. What is the opportunity cost per unit of selling to the Texas company? 2. What is the minimum selling price that should be set?

SEE MORE QUESTIONS

Recommended textbooks for you

Principles of Accounting Volume 2

Accounting

ISBN:

9781947172609

Author:

OpenStax

Publisher:

OpenStax College

Cornerstones of Cost Management (Cornerstones Ser…

Accounting

ISBN:

9781305970663

Author:

Don R. Hansen, Maryanne M. Mowen

Publisher:

Cengage Learning

Principles of Accounting Volume 2

Accounting

ISBN:

9781947172609

Author:

OpenStax

Publisher:

OpenStax College

Cornerstones of Cost Management (Cornerstones Ser…

Accounting

ISBN:

9781305970663

Author:

Don R. Hansen, Maryanne M. Mowen

Publisher:

Cengage Learning

SEE MORE TEXTBOOKS