Question: Party Pools LLC assembles five different models of pool pumps for residential in-ground swimming pools. Fixed costs to produce model P07 pump are $75,000 per

Party Pools LLC assembles five different models of pool pumps for residential in-ground swimming pools. Fixed costs to produce model P07 pump are $75,000 per year. Variable costs per pump for this model are $40. If the company estimates that 1,200 pool pumps will be sold next year, what should the pump price be to result in $30,000 in net income?

Step by Step Solution

★★★★★

3.42 Rating (171 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

30000 P pump x 1200 pump... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

434-B-M-L-S-C-M (2296).docx

120 KBs Word File

Students Have Also Explored These Related Management Leadership Questions!

1. A company is considering investing in a piece of measuring apparatus. The service offered to its customers requires measurement data of the customers' business activities. The customer may deliver...

Kuantan ATV, Inc. assembles five different models of all-terrain vehicles (ATVs) from various ready-made components to serve the Las Vegas, Nevada, market. The company uses the same engine for all...

A company makes five different models of cameras. Last month they sold 13,884 cameras of all five models. The following table lists the number of different models of cameras sold during the last...

Listen to the following videos and then complete the assignments using the changed numbers on the guidance report. Place your answers on the guidance report. Open the Guidance Report and rework the...

financial SUBDOMAINS: 325.4 COMMUNICATING EFFECTIVELY IN ORGANIZATIONS 326.1 MANAGING INTERNAL COST & CONTROLLING FINANCES 326.2 MANAGING CAPITAL & FINANCIAL ASSETS 326.4 MANAGING ENTERPRISE RISK &...

i have to calculate CASH FLOW DOL FOR 2014 AND 2015 for these two companies and need to state why there are significant differences in the DOL between the companies? Annual Report GUD Holdings...

Medical grade oxygen has become a product of national priority now. Oxygen concentration based on pressure swing adsorption is quickly becoming an obsolete technology. You are asked to dissect a...

My name is Sam Smith. After I got my degree in accounting fifteen years ago, I began working for Armstrong Co., a privately held company that produces different types of kitchen appliances. The...

Please see the attachment for the full problem (if needed). I am stuck on the last question, which is #11. Thank you! Sawmill: Joint manufacturing costs: $900,000 Quantity Produced Price at Split-Off...

answer only question 10 and 11 AsAp .. i have attached the answer to Q 9 .. COMPREHENSIVE CASE 2 Chapters 5-10 Metcalf Furniture Corporation produces sofas, recliners, and lounge chairs. Metcalf is...

Consider the chemical process yield data in Exercise 3.9. Calculate the sample average and standard deviation.

Current Attempt in Progress Timmins Company of Emporia, Kansas, spreads herbicides and applies liquid fertilizer for local farmers. On May 31, 2020, the company's Cash account per its general ledger...

Which of these best describes a mistake? When the wrong goal or plan is established, but not on purpose When someone intentionally does the wrong action When a person intends to do one action, but...

A customer owns AylDec Corporation 6% cumulative preferred stock. AylDec has not paid a dividend yet this year, and they also missed the previous two years. If the AylDec wishes to pay a dividend to...

Apply the Five-Ss to improve how you could complete your daily homework or study assignments.

What are the advantages and disadvantages of making small, frequent purchases from just a few suppliers? How do we overcome the disadvantages?

Why should lean layouts be visual?

Assume a company uses the weight-average method in its process costing. Its Work in Process T-account for the Refining Department for August is: Work in Process: Refining Department Debit Credit...

Stern Educational TV,Inc.,has decided to buy a new computer system with an expected life of three years at a cost of $200,000. The company can borrow $200,000 for three years at 12% annual interest...

Consider two bonds A and B with the following characteristics that have the same price. Calculate the price of Bond A as a percentage of its notional amount to two decimal places. If you spent $10mm...