A company produces circuit boards used to upgrade computer equipment. The fixed cost is $42,000 per month,
Fantastic news! We've Found the answer you've been seeking!
Question:
- A company produces circuit boards used to upgrade computer equipment. The fixed cost is $42,000 per month, and the variable cost is $53 per circuit board. The selling price per unit isP=$150 – 0.02D. The maximum output of the plant is 4,000 units per month.
- 1 Determine the optimal demand for this product.
- 2 What is the maximum profit per month?
- 3 At what volume does breakeven occur?
- 4 What is the company’s range of profitable demand?
Related Book For
Managerial accounting
ISBN: 978-0471467854
1st edition
Authors: ramji balakrishnan, k. s i varamakrishnan, Geoffrey b. sprin
Posted Date: