Business
Business, 11.02.2021 21:00, issagirl05

A product at the Jennings Company enjoyed reasonable sales volumes, but its contributions to profits were disappointing. Last year, 17,500 units were produced and sold. The selling price is $22 per unit, the variable cost is $18 per unit, and the fixed cost is $80,000. a. What is the break-even quantity for this product? Use both graphic and algebraic approaches to get your answer.
b. If sales were not expected to increase, by how much would Jennings have to reduce their variable cost to break even?
c. Jennings believes that a $1 reduction in price will increase sales by 50 percent. Is this enough for Jennings to break even? If not, by how much would sales have to increase?
d. Jennings is considering ways to either stimulate sales volume or decrease variable cost. Management believes that either sales can be increased by 30 percent or that variable cost can be reduced to 85 percent of its current level. Which alternative leads to higher contributions to profits, assuming that each is equally costly to implement?
e. What is the percent change in the per-unit profit contribution generated by each alternative in part (d)?

answer
Answers: 3

Other questions on the subject: Business

image
Business, 21.06.2019 21:00, hollie52
The market price of cheeseburgers in a college town increased recently, and the students in an economics class are debating the cause of the price increase. some students suggest that the price increased because the price of beef, an important ingredient for making cheeseburgers, has increased. other students attribute the increase in the price of cheeseburgers to a recent increase in college student enrollment.1. the first group of students thinks the increase in the price of cheeseburgers is due to the fact that the price of beef, an important ingredient for making cheeseburgers, has increased. (what happened to demand and supply, shift to the right or left)2. the second group of students attributes the increase in the price of cheeseburgers to the increase in college student enrollment. (what happens to demand and supply, shift to the right or left)3. suppose that both of the events you analyzed above are partly responsible for the increase in the price of cheeseburgers. based on your analysis of the explanations offered by the two groups of students, how would you figure out which of the possible causes was the dominant cause of the increase in the price of cheeseburgers? (choose a, b, c, or d)a)if the price increase was small, then the supply shift in the market for cheeseburgers must have been larger than the demand shift. b)if the equilibrium quantity of cheeseburgers decreases, then the demand shift in the market for cheeseburgers must have been larger than the supply shift. c)if the equilibrium quantity of cheeseburgers decreases, then the supply shift in the market for cheeseburgers must have been larger than the demand shift. d)whichever change occurred first must have been the primary cause of the change in the price of cheeseburgers.
Answers: 2
image
Business, 22.06.2019 09:00, rosehayden21
Drag the tiles to the correct boxes to complete the pairs.(there's not just one answer)match each online banking security practice with the pci security requirement that mandates it.1. encrypting transfer of card data2. installing a firewall3. installing antivirus software4. assigning unique ids and user namesa. vulnerability management programb. credit card data protectionc. strong access controlsd. secure network
Answers: 3
image
Business, 22.06.2019 11:10, addsd
Sam and diane are completing their federal income taxes for the year and have identified the amounts listed here. how much can they rightfully deduct? • agi: $80,000 • medical and dental expenses: $9,000 • state income taxes: $3,500 • mortgage interest: $9,500 • charitable contributions: $1,000.
Answers: 1
image
Business, 22.06.2019 12:10, latdoz0952
Which of the following is not part of the mission statement of the department of homeland security? lead the unified national effort to secure america protect against and respond to threats and hazards to the nation ensure safe and secure borders coordinate intelligence operations against terrorists in other countries
Answers: 1
Do you know the correct answer?
A product at the Jennings Company enjoyed reasonable sales volumes, but its contributions to profits...

Questions in other subjects:

Konu
English, 30.04.2021 14:50
Konu
Biology, 30.04.2021 14:50