Straus Company, a manufacturer of electronic products, wants tointroduce a new calculator. To compete effectively, the calculator

Fantastic news! We've Found the answer you've been seeking!

Question:

Straus Company, a manufacturer of electronic products, wants tointroduce a new calculator. To compete effectively, the calculator could not be priced at more than $40. The company requires a 20% rate of return on investment on all new products. In order to produce and sell 30,000 calculators each year, the company would have to make an investment of $850,000. What would be the target cost per calculator?
A. $16.50.
B. $23.50.
C. $28.33.
D. $34.33.

Posted Date: Nov 29, 2021 10:00 AM

See More Questions

A manufacturer of electronic circuit boards is considering six mutually exclusive cost-reduction projects for its PC-board manufacturing plant. All have lives of 10 years and zero salvage value s....
Would the "normal" rate of return on investment be the same in all industries? Would "normal" rates of return change over time? Explain.
A manufacturer of electronic calculators is interested in estimating the fraction of defective units produced. A random sample of 800 calculators contains 10 defectives. Compute a 99%...
State Einstein's postulates of the special theory of relativity. ii. Write down Einstein's mass-energy equivalence formula. iii. In the case of two inertial frames of reference, S' moving at a...
To see whether students who nish an exam rst get the same grades as those who nish later, a professor kept track of the order in which papers were handed in. Of the rst 25 papers, 10 received a "B"...
Microsoft and a smaller rival often have to select from one of two competing technologies. The rival always prefers to select the same technology as Microsoft (because compatibility is important),...
A market is partially complete if for any $m$ in the market and any real function $f$, then $f(m)$ is also in the market. In addition, there are other assets that are not traded. As an example,...
Use the information presented in BE5-14 for Martinez Corporation to compute the net cash used (provided) by financing activities.
Assignment 4 In this assignment you are provided information on an experiment and you are required to investigate and interpret the output which is provided below. Problem: Consider the...
You work for the 3T company, which expects to earn at least 18 percent on its investments. You have to choose between two similar projects. Below is the cash information for each project. Your...
A pension fund is making an investment of $102,000 today and expects to receive $1,620 at the end of each month for the next five years. At the end of the fifth year, the capital investment of...
The open-loop transfer function of a unity feedback control system is given by $\mathrm{G}(s)=\frac{\mathrm{K}}{s(s+1)}$. If the gain $\mathrm{K}$ is increased to infinity, then the damping ratio...
What is a Directive?
Explain the situations where full cost pricing may be appropriate.
Several million lottery tickets are sold, and $60 \%$ of the tickets are held by women. Five winning tickets will be drawn at random. a. What is the probability that three or fewer of the winners...
Why do we use models in developing computerized information systems and other artefacts?
Lab 5A: Stacks Q1 Fun with stacks 4 Points Consider a generic Stack class implemented using a linked list with the following methods: public boolean isEmpty(), which returns true if and only if the...
Consider the following cash flows in Table P5.5. (a) Calculate the payback period for each project. (b) Determine whether it is meaningful to calculate a payback period for project D. (c) Assuming...
On 1 July 2025 Costopoulos, Hashmi and Torcello decided to enter into a partnership agreement, some of the relevant information is as follows. 1. Costopoulos contributed $$27200$ cash, inventory...
Francine Steele and Shaun Dunn formed a partnership on 1 July 2025. Some of Steeles business assets and liabilities were assumed by the partnership, and these are listed below at both carrying...
On 1 July 2025, McGregor and Roberts decided to amalgamate their businesses and to share profits equally. Financial information at that date was as follows. At 1 July 2025, McGregors accounts...

Straus Company, a manufacturer of electronic products, wants tointroduce a new calculator. To compete effectively, the calculator

Question:

Expert Answer:

Solution The correct answer is D 3433 Pro... View the full answer

Students also viewed these accounting questions