-
The manager of Calypso, Inc. is considering raising its current price of $35 per unit by 10%. If she does so, she estimates that demand will decrease by 20,000 units per month. Calypso currently sells 51.600 units per month each of which costs $23 in variable costs. Fixed costs are $188,000. a. What is the current profit? Current Prote b. What is the current break even point in units? (Round your answer to the nearest whole number.) Break Even Point...
-
Problem 6-117 (Algo) [LO 6-1, 6-4) The manager of Calypso, Inc. is considering raising its current price of $39 per unit by 10% If she does so, she estimates that demand will decrease by 20,000 units per month. Calypso currently sells 51.300 units per month each of which costs $21 in variable costs. Fixed costs are $181,000. a. What is the current profit? Current Profit $ 742.400 b. What is the current break-even point in units? (Round your answer to...
-
Demand for the Deskpro computer at Best Buy is 1,000 units per
month. Best Buy incurs a fixed order placement, transportation, and
receiving cost of $4,000 each time an order is placed. Each
computer costs Best Buy $500 and the retailer has a holding cost of
20 percent.
The store manager orders in lots of 200 units for each
replenishment order. Calculate:
1. The
number of times the manager should place an order (order frequency)
to meet the annual demand.
2. The...
-
A manager receives a forecast for next year. Demand is projected to be 528 units for the first half of the year and 1,020 units for the second half. The monthly holding cost is $2 per unit, and it costs an estimated $55 to process an order. a. Assuming that monthly demand will be level during each of the six-month periods covered by the forecast (e.g., 88 per month for each of the first six months), determine an order size...
-
A manager receives a forecast for next year. Demand is projected
to be 530 units for the first half of the year and 1,000 units for
the second half. The monthly holding cost is $2 per unit, and it
costs an estimated $55 to process an order. a. Assuming that
monthly demand will be level during each of the six-month periods
covered by the forecast (e.g., 100 per month for each of the first
six months), determine an order size...
-
QUESTION 4 Imran is a dairy farmer and currently has revenues of $34,360 per month. The only costs associated with running the farm are fixed costs of $84,974 per year. As a result of a large shift in demand towards alternative forms of milk in the market Imran serves, he is deciding whether or not to start producing meat instead of milk. He estimates his revenues from producing meat will be $13,403 per month, with no fixed or variable costs....
-
Imran is a dairy farmer and currently has revenues of $45,028 per month. The only costs associated with running the farm are fixed costs of $114,248 per year. As a result of a large shift in demand towards altenative forms of milk in the market Imran serves, he is deciding whether or not to start producing meat instead of milk. He estimates his revenues from producing meat will be $16,773 per month, with no fixed or variable costs. What is...
-
DeGaetano Corporation manufactures a product which sells for
$1,000. Standard variable production
costs are currently $450 per unit. Sales commissions total 20% of
each unit sold. Fixed costs total
$495,000 for the year.
The company has projected that demand for their product will be
limited to 2,000 units per year
for the in the upcoming year and foreseeable future. Due to
extremely competitive market
forces, they cannot charge more than the current $1,000 price. The
company wishes to
maintain a...
-
ons is 51,517,000 Determine Blugi Company Sell 10.500 units at $280 per united costs are $147,000 and income from following Round the contribution margin ratio to two decimal places Variable content Un contribution margin 6. Contribution margin ratie costs machine hour Round your answer to the nearestent 3052 14822 2.684 9.677 2.837 3,834 18,034 0.65 50.69 51.38 d. 30.14 is a product with a break-even point of 4.963 . The ar t is 101 p un, and the cost The...
-
Required information [The following information applies to the questions displayed below.] Adams Company makes and sells products with variable costs of $24 each. Adams incurs annual fixed costs of $321,280. The current sales price is $88. Note: The requirements of this question are interdependent. For example, the $256,000 desired profit introduced in Requirement c also applies to subsequent requirements. Likewise, the $80 sales price introduced in Requirement d applies to the subsequent requirements. . If fixed costs drop to $282,000,...
The manager of Calypso, Inc. is considering raising its current price of $35 per unit by 10%. If she does so, she estimates that demand will decrease by 20,000 units per month. Calypso currently sells 51.600 units per month each of which costs $23 in variable costs. Fixed costs are $188,000. a. What is the current profit? Current Prote b. What is the current break even point in units? (Round your answer to the nearest whole number.) Break Even Point...
Problem 6-117 (Algo) [LO 6-1, 6-4) The manager of Calypso, Inc. is considering raising its current price of $39 per unit by 10% If she does so, she estimates that demand will decrease by 20,000 units per month. Calypso currently sells 51.300 units per month each of which costs $21 in variable costs. Fixed costs are $181,000. a. What is the current profit? Current Profit $ 742.400 b. What is the current break-even point in units? (Round your answer to...
A manager receives a forecast for next year. Demand is projected to be 528 units for the first half of the year and 1,020 units for the second half. The monthly holding cost is $2 per unit, and it costs an estimated $55 to process an order. a. Assuming that monthly demand will be level during each of the six-month periods covered by the forecast (e.g., 88 per month for each of the first six months), determine an order size...
QUESTION 4 Imran is a dairy farmer and currently has revenues of $34,360 per month. The only costs associated with running the farm are fixed costs of $84,974 per year. As a result of a large shift in demand towards alternative forms of milk in the market Imran serves, he is deciding whether or not to start producing meat instead of milk. He estimates his revenues from producing meat will be $13,403 per month, with no fixed or variable costs....
Imran is a dairy farmer and currently has revenues of $45,028 per month. The only costs associated with running the farm are fixed costs of $114,248 per year. As a result of a large shift in demand towards altenative forms of milk in the market Imran serves, he is deciding whether or not to start producing meat instead of milk. He estimates his revenues from producing meat will be $16,773 per month, with no fixed or variable costs. What is...
ons is 51,517,000 Determine Blugi Company Sell 10.500 units at $280 per united costs are $147,000 and income from following Round the contribution margin ratio to two decimal places Variable content Un contribution margin 6. Contribution margin ratie costs machine hour Round your answer to the nearestent 3052 14822 2.684 9.677 2.837 3,834 18,034 0.65 50.69 51.38 d. 30.14 is a product with a break-even point of 4.963 . The ar t is 101 p un, and the cost The...
Required information [The following information applies to the questions displayed below.] Adams Company makes and sells products with variable costs of $24 each. Adams incurs annual fixed costs of $321,280. The current sales price is $88. Note: The requirements of this question are interdependent. For example, the $256,000 desired profit introduced in Requirement c also applies to subsequent requirements. Likewise, the $80 sales price introduced in Requirement d applies to the subsequent requirements. . If fixed costs drop to $282,000,...