Question: A machine manufacturer sells each machine for $ 7 , 2 0 0 . The fixed costs are $ 2 8 1 , 5 0

A machine manufacturer sells each machine for $7,200. The fixed costs are $281,500 per annum, variable costs are $1,750 per machine, and the production capacity is 66 machines in a year.
a. What is the break-even volume?
b. What is the break-even revenue?
c. What is break-even as a percent of capacity per annum?
d. What is the profit or loss made if 60 machines are sold in a year?

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 Finance Questions!

Q:

Q1: Angelo Diaz has decided to go into business selling computer accessories that are popular among university students. He will operate the business in a shopping centre, mostly on weekends. He is...

Q:

Please see attached Document and give answers for all. Thanks Qz 9 Firm A uses straight-line depreciation. Firm B uses MACRS depreciation. Both firms bought $75,000 worth of equipment last year that...

Q:

Briefly discuss the cost-volume-profit analysis model and how it is used. Use the attached PDF. APA Citation. 300 words. REVISED PAGES 3 Chapter Three 1 Fundamentals of Cost-Volume-Prot Analysis...

Q:

Amazfit Sdn Bhd is a manufacturer of smart watches under a brand name of Amazfit. The company produces several types of smart watches for different occassions namely Amazfit T-Rex, Amazfit GTS and...

Q:

ELEMENTARY COST VOLUME ANALYSIS Dr. Nelson S. Abeleda Exercise A On the blank space provided below, indicate the estimated net profit under each of the following independent assumptions given the...

Q:

GEST 1013 Mathematics in Modern Society Topic 2: Decision Making Assignment 2 Question 1 (Relevant Costing) Mr. A has been asked to quote a price for a one-off contract. The following information is...

Q:

Riverside Inc. makes one model of wooden canoe. Partial information for it follows: 1 points Number of Canoes Produced and sold 505 655 805 Total costs Variable costs $ 66,155 2 2 Lxed costs 149,300...

Q:

Superior Views is a manufacturer of binoculars. Its high-end product is available online and is also sold at select retail outlets. The binoculars sell for an average price of $310. Superior...

Q:

The Ports mere Hospital operates its own laundry. Last year the laundry processed 120 000 kilograms of washing and this year the total is forecast to grow to 132 000 kilograms. This growth in laundry...

Q:

The Portsmere Hospital operates its own laundry. Last year the laundry processed 120,000 kilograms of washing and this year the total is forecast to grow to 132 000 kilograms. This growth in laundry...

Q:

Create a 6 by 8 array of random integer numbers ranged from -35 to 70, Find how many -ve numbers in the array? - Multiply the array by -5 - Find the location of maximum and the minimum number in the...

Q:

The mean wage of people living in Alto Canillas is said to be 400 a week with a standard deviation of 100. A random sample of 36 people was examined. What is the acceptance range for a 5%...

Q:

Let f ( x ) be a differentlable function for 3 x 4 then the arclength of f ( x ) between 3 and 4 , Integral 3 to 4 is square root of 1 f ( x ) ) ^ 2 dx is greater than or equal to 1 TrueFalse

Q:

Which of the following statements is not correct? a. Matter is composed of tiny particles called molecules. b. These molecules are in constant motion, even in solids. c. All molecules have the same...

Q:

For a sparse graph G = (V, E), where |E| = (V), is the implementation of Prims algorithm with a Fibonacci heap asymptotically faster than the binary-heap implementation? What about for a dense graph,...

Q:

Distinguish between nominal, ordinal, interval, and ratio scales.

Q:

On a test called the MMPI-2, a score of 30 on the Anxiety Subscale is considered very low. Felipe participates in a yoga group at his gym and decides to give this subscale to 18 people in his yoga...

Q:

If v i (t) is a step voltage in the network shown in Figure P4.25, find the value of the resistor such that a 20% overshoot in voltage will be seen across the capacitor if C = 10 -6 F and L = 1 H. R...

Q:

Design a minimum-mass symmetric three-bar truss (the area of member 1 and that of member 3 are the same) to support a load P, as was shown in Fig. 2.9. The following notation may be used: Pu = P cos...

Q:

The administrator of a general hospital obtained the following data on 20 surgery patients during a study to determine what factors appear to be related to length of stay: Postoperative Length of...

Q:

A research project was conducted to study the relationships among intelligence, aphasia, and apraxia. The subjects were patients with focal left hemisphere damage. Scores on the following variables...

Q:

The following data were collected on 15 obese girls: Weight in Kilograms (Y) Lean Body Weight (X1) Mean Daily Caloric Intake (X2) 79.2 54.3 2670 64.0 44.3 820 67.0 47.8 1210 78.4 53.9 2678 66.0 47.5...