Business, 06.03.2020 22:33, fatherbamboo

Rosario Company, which is located in Buenos Aires, Argentina, manufactures a component used in farm machinery. The firm's fixed costs are 3,900,000 p per year. The variable cost of each component is 1,800p, and the components are sold for 3,100 p each. The company sold 5,300 components during the prior year. (p denotes the peso, Argentina's national currency. Several countries use the peso as their monetary unit. On the day this exercise was written, Argentina's peso was worth .192 U. S. dollars. In the following requirements, ignore income taxes)

1) Compute the break even point in units.

2) What will the new break-even point be if fixed costs increase by 10 percent?

3) What was the company net income for the prior year?

4) The sales manager believes a reduction in the sales price to 2,600 p will result in orders for 800 more components each year. What will the break even point be if the price is changed?

Answers: 2

Show answers

Other questions on the subject: Business

Business, 22.06.2019 20:00, princesincer9256

The master manufacturing company has just announced a tender offer for its own common stock. master is offering to buy up to 100% of the company's stock at $20 per share contingent on at least 64% of the outstanding shares being tendered. after the announcement of the offer, the stock closed on the nyse up 2.50 at $18.75. a customer has 100 shares of master stock in his cash account. the customer tells you that he wishes to "cash out" his position. you should recommend that the customer:

Answers: 2

continue

Business, 22.06.2019 21:50, princessmoon

Labor unions have used which of the following to win passage of favorable laws such as shorter work weeks and the minimum wage? a. strikes b. collective bargaining c. lobbying d. lockouts

Answers: 1

continue

Business, 22.06.2019 22:00, taliyahjhonson1

What legislation increased the ability for federal authorities to tap telephones and wireless devices, tightened the enforcement of money laundering activities, as well as broadened powers toward acts of terrorism and acts such as drug trafficking?

Answers: 2

continue

Business, 22.06.2019 23:40, kyleryoung0602

Gdp has grown in a country at 3% per year for the last 20 years. the labor force has grown at 2% per year and the quantity of physical capital has grown at 4% per year. a 1% increase in average physical capital per worker (other things equal) raises productivity by 0.3%. average education has not changed. how much has growing physical capital per worker contributed to productivity growth in this country? choose the correct answer from the following choices, and then select the submit answer button. answer choices 0.3% 0.6% 3.0% 6.0%

Answers: 1

continue

Do you know the correct answer?

Rosario Company, which is located in Buenos Aires, Argentina, manufactures a component used in farm...