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Homework#2 (Ch5 and 6)
Question 2
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A company that makes cell phones has the
following cost structure. The have fixed
costs of $145 000 per period and
manufacturing costs of $15.16 per cell
phone. Advertising is expected to be $25
000 per period and a special promotional
contest will involve providing a free case for
a cost of $5.30 per cell phone. Each cell
phone sells for $49.95. What is the break-
even point in the number of phones? Select
one:
A.
4240
B.
5765
C.
4886
D.
4168
E.
4917
If n stands for number sold and c stands for cost per item, in which column would you use the formula: ? a. column d c. column f b. column e d. column g
One of every 20 customers reports poor customer service on your company’s customer satisfaction survey. you have just created a new process that should cut the number of poor customer service complaints in half. what percentage of customers would you expect to report poor service after this process is implemented? 1.) 5% 2.) 10% 3.) 2% 4.) 2.5%