A dormitory is being built for a capital cost of $1,850,000. It will last 75 years and is being financed at 8% per year. Variable costs are $1,200/student- year. Students are charged $15,000 per year for housing.
- Derive an equation for the revenue as a function of the capacity of the dormitory (students housed each year).
- Derive an equation for the cost as a function of students housed each year.
- Find the breakeven point (profit = 0).
- What is the profit if 50 students are housed in the dormitory?
Homework Answers
Kindly upvote:)
Add Answer to:
A dormitory is being built for a capital cost of $1,850,000. It
will last 75 years...
EWL Corporation sells its product for $130 per unit. Its total cost function is TC =...
EWL Corporation sells its product for $130 per unit. Its total cost function is TC = $15,000+ $800. EWL's production capacity is 500 units per month. It normally operates at 80% of capacity. Match the lettered items on the right with the appropriate item on the left. Each numbered item has only one correct answer. Each lettered item may be used once, more than once, or not at all. 1. Actual unit activity minus A. Margin of safety Breakeven point...
Capital University, a mid-size university located in a capital city has approximately 10,000 students studying in...
Capital University, a mid-size university located in a capital city has approximately 10,000 students studying in four departments. While the University’s goal is not to make a profit, it is also important that the University does not operate at a loss. The only source of revenue is tuition and government grants. The government gives the University $14,000 a year for each full-time student. Faculty: Arts Science Engineering Business Number of Courses 120 200 150 150 Number of Students 4,800 2,000...
Required If total fixed cost at James Company is $1,095,000 and the sales mix remains constant,...
Required If total fixed cost at James Company is $1,095,000 and the sales mix remains constant, what is the number of units of product X that will be sold as part of the breakeven sales mix? 3) 2-36 Multiproduct breakeven analysis Brant Consulting designs costing and transfer pricing sys- tems for its clients. Here is a summary of volume, revenue and cost expectations for the upcom- ing year: COSTING PROJECTS TRANSFER PRICING PROJECTS FIRM ITEM PER UNIT 50 Joes PER...
8. [-13 Points] DETAILS TANAPCALC10 2.2.064. Profit from Sale of Smartphones Apollo manufactures smartphones at a...
8. [-13 Points] DETAILS TANAPCALC10 2.2.064. Profit from Sale of Smartphones Apollo manufactures smartphones at a variable cost of Vx) = 0.000003x3 -0.05x2 + 300x dollars, where x denotes the number of units manufactured per month. The monthly fixed cost attributable to the division that produces them is $100,000. The total revenue realized by Apollo from the sale of x smartphones is given by the total revenue function R(x) = -0.1x2 + 500x (0 < x < 5000) where R(x)...
Objective: This activity has the purpose of helping students calculate the Breakeven point using the software...
Objective: This activity has the purpose of helping students calculate the Breakeven point using the software Microsoft Excel to perform a sensitivity analysis. (Objective 4) Student Instructions: Read example to be used to compute the Breakeven point. Textbook problem 13 - 1 (Blank, L. & Tarquin, A. ), page 459: The fixed cost at Harley Motors are $1 million annually. The main product has revenues of $8.50 per unit and $4.25 variable cost. Determine the breakeven quantity per year and...
As Sales Manager for Montevideo Productions, Inc., you are planning to review the prices you charge...
As Sales Manager for Montevideo Productions, Inc., you are planning to review the prices you charge clients for television advertisement development. You currently charge each client an hourly development fee of $2,900. With this pricing structure, the demand, measured by the number of contracts Montevideo signs per month, is 11 contracts. This is down 7 contracts from the figure last year, when your company charged only $2,200. (a) Construct a linear demand equation giving the number of contracts q as...
As Sales Manager for Montevideo Productions, Inc., you are planning to review the prices you charge...
As Sales Manager for Montevideo Productions, Inc., you are planning to review the prices you charge clients for television advertisement development. You currently charge each client an hourly development fee of $2,600. With this pricing structure, the demand, measured by the number of contracts Montevideo signs per month, is 4 contracts. This is down 5contracts from the figure last year, when your company charged only $2,100. (a) Construct a linear demand equation giving the number of contracts q as a...
The fixed cost at Harley Motors are $7 million annually. The main product has renemies of...
The fixed cost at Harley Motors are $7 million annually. The main product has renemies of $8.50 per unit and 84.25 variable cost. Determine the breakeven quantity per year and the animal profitif 200,000 units are sold and if 350,000 units are sold? 1. Have available the Microsoft Excel software program. 2. Construct a table in the Microsoft Excel work sheet as shown below. The instructions are shown in the second table. Fixed costs variable costs Sale price 1000000 4.25...
can sombody please help with this HW W1-1. Section 2.1 Exercise 42. Television Advertising As sales...
can sombody please help with this
HW W1-1. Section 2.1 Exercise 42. Television Advertising As sales manager for Montevideo Productions, Inc., you are planning to review the price you charge clients for television advertisement development. You currently charge each client an hourly development fee of $2,500. With this pricing structure, the demand, measured by the number of contracts Montevideo signs per month, is 15 contracts. This is down 5 contracts from the figure last year, when your company charged only...
Cougar Plastics Company has been operating for three years. At December 31 of last year, the...
Cougar Plastics Company has been operating for three years. At December 31 of last year, the accounting records reflected the following: Cash $ 20,000 Accounts payable $ 19,000 Investments (short-term) 3,500 Accrued liabilities payable 2,000 Accounts receivable 4,400 Notes payable (short-term) 5,200 Inventory 30,000 Notes payable (long-term) 49,000 Notes receivable (long-term) 1,400 Common stock 9,300 Equipment 43,000 Additional paid-in capital 83,700 Factory building 101,000 Retained earnings 38,600 Intangibles 3,500 Summarized activities during the year: Purchased short-term investments for $7,800 cash....
EWL Corporation sells its product for $130 per unit. Its total cost function is TC = $15,000+ $800. EWL's production capacity is 500 units per month. It normally operates at 80% of capacity. Match the lettered items on the right with the appropriate item on the left. Each numbered item has only one correct answer. Each lettered item may be used once, more than once, or not at all. 1. Actual unit activity minus A. Margin of safety Breakeven point...
Required If total fixed cost at James Company is $1,095,000 and the sales mix remains constant, what is the number of units of product X that will be sold as part of the breakeven sales mix? 3) 2-36 Multiproduct breakeven analysis Brant Consulting designs costing and transfer pricing sys- tems for its clients. Here is a summary of volume, revenue and cost expectations for the upcom- ing year: COSTING PROJECTS TRANSFER PRICING PROJECTS FIRM ITEM PER UNIT 50 Joes PER...
8. [-13 Points] DETAILS TANAPCALC10 2.2.064. Profit from Sale of Smartphones Apollo manufactures smartphones at a variable cost of Vx) = 0.000003x3 -0.05x2 + 300x dollars, where x denotes the number of units manufactured per month. The monthly fixed cost attributable to the division that produces them is $100,000. The total revenue realized by Apollo from the sale of x smartphones is given by the total revenue function R(x) = -0.1x2 + 500x (0 < x < 5000) where R(x)...
Objective: This activity has the purpose of helping students calculate the Breakeven point using the software Microsoft Excel to perform a sensitivity analysis. (Objective 4) Student Instructions: Read example to be used to compute the Breakeven point. Textbook problem 13 - 1 (Blank, L. & Tarquin, A. ), page 459: The fixed cost at Harley Motors are $1 million annually. The main product has revenues of $8.50 per unit and $4.25 variable cost. Determine the breakeven quantity per year and...
The fixed cost at Harley Motors are $7 million annually. The main product has renemies of $8.50 per unit and 84.25 variable cost. Determine the breakeven quantity per year and the animal profitif 200,000 units are sold and if 350,000 units are sold? 1. Have available the Microsoft Excel software program. 2. Construct a table in the Microsoft Excel work sheet as shown below. The instructions are shown in the second table. Fixed costs variable costs Sale price 1000000 4.25...
can sombody please help with this
HW W1-1. Section 2.1 Exercise 42. Television Advertising As sales manager for Montevideo Productions, Inc., you are planning to review the price you charge clients for television advertisement development. You currently charge each client an hourly development fee of $2,500. With this pricing structure, the demand, measured by the number of contracts Montevideo signs per month, is 15 contracts. This is down 5 contracts from the figure last year, when your company charged only...
Most questions answered within 3 hours.
-
Assume that the population of Mexico is 128
million and that the population increases 1.01
percentannually....
asked 15 minutes ago -
Can someone please help me add appropriate descriptive
comments to each line of code in the...
asked 21 minutes ago -
Romeo wishes to throw a bouquet of flowers to Juliet, who is on
a second-story balcony,...
asked 1 hour ago -
Why is QE a controversial monetary policy tool.
A. It may lead to excessive inflation.B. By...
asked 1 hour ago -
Principles of Programming midterm study guide help!
1.)
______ Which of the following would reference the...
asked 1 hour ago -
A finite potential well has depth U0 = 2.78 eV . What is the
penetration distance...
asked 2 hours ago -
1. The bus bars of a power station are in two sections A and B
separated...
asked 2 hours ago -
Fiscal policy is the deliberate manipulation of taxes and
government spending to alter GDP, employment, inflation...
asked 2 hours ago -
evaluating an expression using only one digit and + and - as
operators ....3+5-1+7-5+8
-----------------------
stack...
asked 2 hours ago -
Two concentric current loops lie in the same plane. The smaller
loop has a radius of...
asked 3 hours ago -
1)Which of the following is an
important difference between qualified and nonqualified retirement
plans?
a. Qualified...
asked 3 hours ago -
What's the streaming business's problem on the
horizon?
asked 4 hours ago