Question: 8 110 112 116 18 114 OSCM Assignment 5 - Increase in Minimum Wage We manufacture breakfast cereal at our factory in Toad Sack, AR.

8 110 112 116 18 114 OSCM Assignment 5 - Increase in Minimum Wage We manufacture breakfast cereal at our factory in Toad Sack, AR. Our current selling price is $2.40 per box, F.O.B. our shipping dock (our customers pay shipping expenses). Our gross profit margin is 40%. We pay our workers $10.25 per hour. Currently, the labor portion of our cost per box of cereal is $.215 (twenty one and one half cents). Beginning January 1, 2021, the hourly wage will increase to $12.00. A. Calculate the labor cost per box of cereal after Jan 1, 2021. Round answer to 3 places. B. After Jan 1, 2021, what will be our total cost per box of cereal, assuming all other non-labor costs remain the same? Round answer to 3 places. C. If we are to make a 40% gross profit margin, what must our new selling price be, after Jan 1, 20217 Round answer up to closest penny. D. Based upon annual sa les of 6 million boxes, how much added labor costs will we experience per year when comparing 2021 to 2020? ** Note: You must show your math

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

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

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!

OSCM Assignment 8 - Increase in Minimum Wage We manufacture breakfast cereal at our factory in Toad Suck, AR. Our current selling price is $2.40 per box, F.O.B. our shipping dock (our customers pay...

OSCM Assignment 8 - Increase in Minimum Wage We manufacture Rooty Tooty Frooty breakfast cereal at our factory in Toad Suck, AR. Our selling price is $2.20 per box, F.O.B. our shipping dock (our...

2. 3 4 13 1 See The Light Projected Income Statement For the Period Ending December 31, 20x1 15 6 7 6 7 8 MON 750.000.00 $ 375000.00 Sales 25.000 lamps @ $4500 Cost of Goods Sold $30.00 Gross Profit...

ATC 14-1 (Pg. 686) 1.(Follow the cash) In a narrative format, answer the questions posed in the case. 2.What is meant by "presentation of financial statement information in common-size amounts rather...

Autore Page Layout Formas Data Review View Help Foxit Reader PDF Search 1 See The Light Projected Income Statement For the Period Ending December 31, 20x1 $ 1.125 000 00 750 000 00 $ 375 000 00...

please answer 7.1-10.10. BC D Sales Cost of Goods Sold Gross Profit Selling Expenses Fixed Variable Administrative Expenses Fixed Variable Total Selling and Administrative Expenses Net Profit Current...

Please see the attached instructions forwhat is required for this question For this assignment, you will complete the Financial Overview component of Amazon. To complete this assignment, use the...

I am needing help determining how to up my group's score in year 8 in the GLO-BUS simulation. Below are the current standings after year 7 (I am in A Company): Product Design: AC Camera Marketing:...

Each separate response must have approximately 200 words. Assignments vary widely; however, essays should be written in APA style, with in-text citations and a separate reference listing as...

Duck hunting in populated areas faces opposition on the basis of safety and environmental issues. In a survey to assess public opinion regarding duck hunting on Morro Bay (located along the central...

To what extent should personal religious beliefs impact our decisions about business ethics? To what extent do your personal religious (or non-religious) beliefs about life impact your sense of...

QUESTION 3 1 2 points Which of the following statements is TRUE about warming up before an exercise and cooling down after a work out? Warming up will favor lactate formation while cooling down will...

As the manager of Smith Construction, you need to make a decision on the number of homes to build in a new residential area where you are the only builder. Unfortunately, you must build the homes...