You want to establish your own business and are thinking about releasing a new product. Customers will payP150 for it, according to market research, and your sales team believes they can sell at least 1,000 units everymonth. The equipment you'll need to make the product will require a monthly fixed cost of P400,000 and lease offacility at P500,000. Costs of producing the product are direct labor P20, direct materials P15, shipping P5 andsales commission P10. What is the breakeven point? Will this be a profitable venture? Justify you answer.

Answered: Image /qna-images/answer/e642ea7a-58bf-4737-a7b2-ec498156581b.jpg

Answered: You want to establish your own business…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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You are the buyer for a major U.S. health care company. As buyer, your job is to procure and buy parts for the production of X-Ray machines. The buyer from your sister plant in Paris, France has contacted you to supply them with 5 center sections, (a major component used in the X-Ray tube), because they will run out of these parts within 3 days. The center section is procured from a single source supplier in England, weighs approximately 40 pounds, is made of lead and has a 6-week lead time, (the time your supplier requires to manufacture the center section). Based on this criterion, answer the following questions: What mode of transportation is appropriate for shipping this part to Paris, France? What carrier will you use? Which carrier offers the best value?
OM1. Please answer fast
On part D, the $600 was wrong. Is there another possible solution?
Price Quantity Demanded LRAC 50 1 $10 35 $20 20 $24 4 $37.50 The table above shows demand and average total cost for a natural monopoly firm. What will the price will this firm charge? $20 $50 $35 $5
Based on the following sensitivity report, what would be the impact of changing the objective function coefficient for Product_1 to 12 and changing the objective function coefficient for Product 3 to 18?
Your friend Brianna is considering getting a credit card. She is going to use the credit card to help build her credit. The credit card she is considering has an APR of 24.99% and it also has a yearly fee of $150.00 but it does offer 1% cash back on most purchases. She asks you for your advice. Should Brianna get the credit card?
please show work in excel The New Haven Foundation gave a grant to the Affordable Computers Co.(ACC) to manufacture low cost computers for children in developing countries. ACC needs 3000 memory chips per month for use in producing these hardware. The ordering cost is 12 dollars, and holding cost is 0.3 dollars per chip per year. a) What is the economic order quantity for the memory chips? b) Based on your answer to part (a), what would be the time between orders? (Hint: Q/D)
Item X is a standard item stocked in a company's inventory of spare parts. Each year, the firm uses about 2,000 units of Item X, which costs Php 1,000 per unit. Storage costs, which include insurance and cost of capital, amount to 18 percent of item unit cost. Placing an order for more of Item X costs Php 400. The company operates 360 days per year and Item X is received 9 days after placement of order.
If a product in question has an insignificant cost, it might not be worth the trouble to trace the cost of that item to a particular cost center, and that item would be considered indirect. If the cost of tracing the cost of that item is high in relation to the benefits received from tracing it, the item would likely be considered as indirect material. If the design of the manufacturing process easily permits all the items to be traced to a single type of cost center, then it would be easy for a company to consider that material to be direct. Overall, the direct/indirect classification is decided on a cost/benefit basis. In your response to this discussion, state why is it possible that a raw material such as glue might be considered as an indirect material for one furniture manufacturer and as a direct material for another furniture manufacture? Also for this discussion, what are the differences between direct costs and indirect costs? Give an example of each.
Need help! A-1 is incorrect.
Please Show EVERY Working VERY Clearly! Calculate the Economic Order Quantity, Total Annual Cost, Reorder Point, and ADDITIONAL Annual Cost (using a GRAPH) if the Procurement Manager increase the order quantity by 25% from the above EOQ.
All of the following are advantages to contracting except: a. Reducing income riskb. Assuring a market for a commodityc. Eliminating default risk of a single buyerd. Ensuring and rewarding for quality

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