The figure below shows graphs of the fixed cost function, total cost function andthe total revenue function for a certain commodity.20Dollars ($)80007000600050004000300020001000-10-1000+102030(a) What is the break-even point?e.g. (295,7650)(b) What are the fixed costs? $Percent of capacity=40UnitsTRTCIf the selling price per unit is $100, and the variable cost per unit is $20:FC50 60 70 80 90 100enter the answer in the form (x,y)(c) If the maximum production capacity of the commodity is 100, express thebreak-even units as a percent of capacity?% (round to two decimal places if necessary)

An financial tool called a break-even analysis is used to figure out a company's expense structure…

Answered: The figure below shows graphs of the…

Financial Reporting, Financial Statement Analysis and Valuation

8th Edition

ISBN:9781285190907

Author:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw

Publisher:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw

Chapter10: Forecasting Financial Statement

Section: Chapter Questions

Problem 12PC

See similar textbooks

Similar questions

If a product sells P^(7500) and costs P^(4300) to manufacture, its gross margin is P^(3200). Find the margin percent.
using the price p=20 - .05x, use the Revenue function to find the marginal Revenue function R'(x), Find a. R'(100)= b. R'(175)= c. R'(250)= The marginal Revenue R'(x) approximates how the revenue will change on the sale of the next item. a. Given R(100) = 642 and R'(100)= 18 then R(101) ≈ b. Given R(400) = 16,250 and R'(400)= -10 then R(401) ≈ c. Given R(1000) = 3500 and R'(1000) = 3 then R(1001) ≈
X The figure below shows graphs of the fixed cost function, total cost function and the total revenue function for a certain commodity. 20 8000+ 7000 6000 5000 4000 Dollars ($) 3000- 2000 1000 -10 -1000+ 10 20 30 (a) What is the break-even point? (295,7650) (b) What are the fixed costs? $ Percent of capacity= 40 Units Next Question 50 TR If the selling price per unit is $90, and the variable cost per unit is $20: TC FC 60 70 80 90 100 (c) If the maximum production capacity of the commodity is 110, express the break- even units as a percent of capacity? enter the answer in the form (x,y) e.g. % (round to two decimal places if necessary)
The Marginal Revenue function for a company's product is:MR = 240000 - 22xwhere x equals the number of units sold. If total revenue equals 0 when 0 units are sold, determine the total revenue.
The following information relates to the operations of a company; cost per unit from supplier- GH¢80, variable cost per unit GH¢40 and total fixed cost of GH¢300000. The company determines its selling price by adding a margin of 20%. What is the breakeven quantity?
How much would be needed today to provide an annual amount of $50000 each year for 20 years, at 9% interest each year? a. $546,000 O b. $456,427 O c. $645,000 O d. $456,000
The price of a product is expressed as ?, PHP = 10 – 28? where ? is the demand. Which of the following correctlyexpresses the total revenue? 10 − 28?2 28? = 10 10? − 28? 10? − 28?2
4. Given: Mark-on (MO) = P599 Cost (C) = P1699 Mark-up rate based on cost (MU_c%) = 30% Find the selling price before increase/Regular selling price (S)
For a certain company, the cost function for producing x items is C(x)=40x+200, and the revenue function for selling x items in R(x)=−0.5(x−80)2+3,200. The maximum capacity of the company is 110 items. The profit function P(x) is the revenue function R(x) (how much it takes in) minus the cost function C(x) (how much it spends). In economic models, one typically assumes that a company wants to maximize its profit, or at least make a profit!Assuming that the company sells all that it produces, what is the profit function?P(x)= Preview Change entry mode . Hint: Profit = Revenue - Cost as we examined in Discussion 3. What is the domain of P(x)?Hint: Does calculating P(x) make sense when x=−10 or x=1,000? The company can choose to produce either 40 or 50 items. What is their profit for each case, and which level of production should they choose?Profit when producing 40 items = Number Profit when producing 50 items = Number Can you explain, from our model, why the company makes less profit…
If Actual sales are OMR 490000, Total Fixed costs OMR 135000, Selling price per unit OMR 50, and Variable cost per unit OMR 35, which of the following shows Margin of Safety (MS) as amount and as percentage (on sales)? Select one: a. MS=40000 and MS (%)=8.16 b. MS=60000 and MS (%)=15.15 c. MS=72000 and MS (%)=16.42 d. MS=40000 and MS (%)=8.89
The table shows cost, C (q), and revenue, R (q). What are the fixed costs? Fixed costs = i 9 R(q) C(q) 0 0 2500 3000 2500 5000 7500 10000 12500 15000 500 1000 1500 2000 6000 6500 7000 7500 9500 11500 14250
What is the profit (or loss) at the crossover point? Product 1 Product 2 Price/Unit 60 52 Variable Cost/unit 16 28 Fixed Cost 40,000 22,000 (Include negative if a loss) (Answer rounded to 2 decimal points)

SEE MORE QUESTIONS

Recommended textbooks for you

Financial Reporting, Financial Statement Analysis…

Finance

ISBN:

9781285190907

Author:

James M. Wahlen, Stephen P. Baginski, Mark Bradshaw

Publisher:

Cengage Learning