Bundle: Essentials of Business Communication, Loose-leaf Version, 11th + MindTap Business Communication, 1 term (6 months) Printed Access Card
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Chapter 9, Problem 9.9AAC
Summary Introduction

To determine:-

Three health and wellness perks that can be offered to employees at little or no cost by writing a feasibility memo report. The investigation should be done about the benefits of such programs.

Introduction:-

Feasibility reports are reports prepared by presenting the decisions immediately. They analyze a proposal to check whether it will work or not. Feasibility, as the word suggests, is the study as to whether a project or an idea will work, such as ensuring that the work will be financially, socially, technically, or logically feasible.

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Scarce resource; discontinued product lines; negative contribution marginThe officers of Bardwell Company are reviewing the profitability of the company’s four products and the potential effects of several proposals for varying the product mix. The following is an excerpt from the income statement and other data.   Total Product P Product Q Product R Product S Sales $62,600 $10,000 $18,000 $12,600 $22,000 Cost of goods sold (44,274) (4,750) (7,056) (13,968) (18,500) Gross profit $18,326 $5,250 $10,944 $(1,368) $3,500 Operating expenses (12,004) (1,990) (2,968) (2,826) (4,220) Income before taxes 6,322 $3,260 $7,976 $(4,194) $(720) Units sold   1,000 1,200 1,800 2,000 Sales price per unit   $10.00 $15.00 $7.00 $11.00 Variable cost of goods sold   2.50 3.00 6.50 6.00 Variable operating expenses   1.17 1.25 1.00 1.20 Each of the following proposals is to be considered independently of the other proposals. Consider only the product changes stated in each…
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