Question: make sure answer is correct and show work with it make sure work is neat and organized S7.16 Smithson Cutting is opening a new line
make sure answer is correct and show work with it make sure work is neat and organized
S7.16 Smithson Cutting is opening a new line of scissors for supermarket distribution. It estimates its fixed cost to be $500.00 and its variable cost to be $0.50 per unit. Selling price is expected to average $0.75 per unit. 1. What is Smithson's break-even point in units? 2. What is the break-even point in dollars? - S7.17 Sroufe Manufacturing intends to increase capacity by overcoming a bottleneck operation by adding new equipment. Two vendors have presented proposals. The fixed costs for proposal A are $50,000, and for proposal B,$70,000. The variable cost for A is $12.00, and for B,$10.00. The revenue generated by each unit is $20.00. 1. What is the break-even point in units for proposal A ? 2. What is the break-even point in units for proposal B ? - S7.22 You are considering opening a copy service in the student union. You estimate your fixed cost at $15,000 and the variable cost of each copy sold at $.01. You expect the selling price to average $.05
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