A firm sets up a factory to manufacture TV sets, and this model is expected to be in the market for 10 years and its machinery will be used for this period. Every year it manufactures 12000 TV sets, the component costs are $60 per set; hourly labor costs are $10 a set; CEO salary and other overheads are $200000 a year. The firm also buys manufacturing machinery for $400000. Considering its production of 12000 TV sets every year, what should the price of the TV set be, if the firm makes no profit or loss every year.

Answers

Answer 1

Answer:

$90

Explanation:

No of TV set in 10 years = 12000*10 years = 120,000 TV sets

Total component cost = 120,000*$60 = $7,200,000

Total labor cost = 120,000 * $10 = $1,200,000

Total cost of CEO Salary & Overheads = $200,000 * 10 = $2,000,000

Cost of machinery = $400,000

Total cost = $7,200,000 + $1,200,000 + $2,000,000 + $400,000

Total cost = $108,000,000

Cost per unit = $108,000,000/120,000

Cost per unit = $90

So, for a no profit-no loss scenario, the selling price should be $90


Related Questions

If the contribution margin ratio is 45%, target operating income is $50,000, and the sales revenue needed to achieve the target operating income is $300,000, what are total fixed expenses

Answers

Answer:

$85,000= fixed costs

Explanation:

Giving the following information:

Contribution margin ratio= 0.45

Desired profit= $50,000

Break-even point in sales with desired income= $300,000

To calculate the fixed costs, we need to use the following formula:

Break-even point (dollars)= (fixed costs + desired profit) / contribution margin ratio

300,000  = (fixed costs + 50,000) / 0.45

135,000 - 50,000 = fixed costs

$85,000= fixed costs

If Malaland exports $51 billion in goods to Bursia, and Malaland imports $34 billion of goods from Bursia , what is the goods trade balance for Malaland

Answers

Answer:

$17 billion

Explanation:

Calculation for what is the goods trade balance for Malaland

Using this formula

Goods trade balance=Exports goods- Imports goods

Let plug in the formula

Goods trade balance=$51 billion- $34 billion

Goods trade balance=$17 billion

Therefore the goods trade balance for Malaland will be $17 billion

c. Suppose that the total amount to be paid under the contract with the city is estimated at $14,000 but may be adjusted to $12,000 next year during the review of the city budget. What amount from the contract, if any, should Brown Thumb recognize as income this year

Answers

Answer:

$14,000

Explanation:

The amount that should reported as the income for this year is $14,000 as if he takes the other amount so he wants to adjust the amount in order to reconcile the real amount of income

So as per the given situation this year amount i.e. $14,000 would be considered and the other amount i.e. $12,000 would be ignored

SO the same is to be relevant

Strengths and weaknesses Group of answer choices should be kept confidential. are areas of high and low capability. relate to the external environment. are an outcome of strategic implementation.

Answers

Answer: are areas of high and low capability.

Explanation:

Strength and weakness are areas of high and low capability. Some examples of the strengths that an organization has include large market share, strong employee attitudes, economies of scale, hug integrity etc. These gives an organization an edge over its rivals.

The weakness of an organization makes such organization lag behind its rivals.

The marketing activity that receives the most attention from those concerned with ethical considerations is product strategy, but promotion, marketing research, and pricing also get their share of attention. True False

Answers

Answer:

True.

Explanation:

This statement is true, due to the fact that the marketing activities whose competences are ethical considerations, encompass the product strategy as a focus, but also the promotion, marketing research and prices. Ethical considerations in relation to the marketing of a product, means that the product will meet the demands of consumers and satisfy their wants and needs along with the ethical considerations contained in the product. As an example we can mention a makeup company that uses stamps that do not perform tests on animals and uses biodegradable packaging, this company is attesting to consumers ethical values ​​required by its potential audience, so research is needed to identify what their customers' demands are , price strategy in product development and commercialization, etc.

Canon was able to redesign the copying machine so that it didn't need professional service—reliability was built directly into the machine, and the user could replace parts, such as the cartridge. What Xerox had not envisioned was the possibility that the components of the copying machine could be put together in an altogether different way that was more user-friendly. This example describes:______

a. architectural innovation.
b. incremental innovation.
c. radical innovation.
d. disruptive innovation.

Answers

Answer:

a. architectural innovation.

Explanation:

From the question we are informed about Canon who was able to redesign the copying machine so that it didn't need professional service—reliability was built directly into the machine, and the user could replace parts, such as the cartridge. What Xerox had not envisioned was the possibility that the components of the copying machine could be put together in an altogether different way that was more user-friendly. In this case This example describes architectural innovation.

Architectural innovation can be regarded as innovation of an architecture which involves

reconfiguration of products technology that has been in existence so that improvement can be made. It is way to innovate products that can undergo changes as well as modified one that has its components link together.

Seadrill Engineering licensed software to oil-drilling firms for 5 years. In addition to providing the software, the company also provides consulting services and support to ensure smooth operation of the software. The total transaction price is $420,000. Based on standalone values, the company estimates the consulting services and support have a value of $120,000 and the software license has a value of $300,000. Assuming the performance obligations are not interdependent, the journal entry to record the transaction includes:

a. a credit to Sales Revenue of $420,000.
b. a credit to Unearned Service Revenue of $120,000.
c. a credit to Sales Revenue for $300,000 and a credit to Unearned Service Revenue of $120,000.
d. a credit to Service Revenue of $120,000.

Answers

Answer:

c. a credit to Sales Revenue for $300,000 and a credit to Unearned Service Revenue of $120,000.

Explanation:

In the scenario of accepting money for an extended warranty/support service, the seller in the case has agrees to provide services in the future. The revenue is not earned until the earning process is substantially completed in the future. So the correct option is c.

Smith buys and sells securities. On December 15, 2018, Smith purchased $548,000 of Jones shares and elected the fair value option to account for the Jones investment. As of December 31, 2018, the Jones shares had a fair value of $594,000. In the 2018 financial statements, Smith will report (ignore taxes):

Answers

Answer:

Investment income of $46,000 in its income statement

Explanation:

Calculation for the amount that Smith will report in the 2018 financial statements,

Investment income =Fair value of $594,000-Purchased $548,000

Investment income =$46,000

Therefore Smith will report investment income of $46000 in its 2018 financial statements,

The shareholders' equity of Green Corporation includes $398,000 of $1 par common stock and $580,000 par of 7% cumulative preferred stock. The board of directors of Green declared cash dividends of $68,000 in 2018 after paying $38,000 cash dividends in each of 2017 and 2016. What is the amount of dividends common shareholders will receive in 2018

Answers

Answer:

$22,200

Explanation:

The computation of the dividend amount made to the common shareholders is shown below:

Arrear in Preferred Stock Dividend is

= $580,000 × 7% × 2 - $38,000 - $38,000

= $5,200

Now

Current Preferred Stock Dividend is

= $580,000 × 7%

= $40,600

Now

The amount of dividends made to the common shareholders is

= $68,000 - $40,600 - $5,200

= $22,200

If marginal business tax rates are decreased, how will aggregate supply and employment change in the long run

Answers

Answer:

If corporate tax rates decrease, this should shift the aggregate supply curve tot he right, increasing total quantity supplied and price level. An increase in the quantity supplied should eventually make that producers hire more workers, therefore, the unemployment rate should decrease.

Explanation:

How much can Jeff claim as an itemized deduction for taxes paid if he paid the following in 2019: (state income tax withheld of $5000; real estate taxes of $3500; personal property taxes based on value of his car of $1000, state income tax owned for 2016 of $450; and gas tax of $675)

Answers

Answer:

The maximum state and local tax deduction is $10,000 for all combined state and local taxes paid during the year. That is the maximum amount that Jeff would be able to deduct if he itemizes. In this case, the maximum deduction would be = $5,000 + $3,500 + $1,000 + $450 = $9,950.

Unless Jeff has other applicable deductions, he would be better off by taking the standard deduction.

The Lion Incorporated is currently going bankrupt and is a subsidiary of the Dorothy Ltd. The CFO of the Dorothy Ltd is preparing consolidating statements for a listing of the company on the French stock exchange. She does not include in consolidation the Lion Company, saying Lion does not have and is not in the process of having debt or equity instruments that are publically traded. The CFO is:

Answers

Answer: In compliance with the IFRS

Explanation:

Based on the information given in the question, we can say that the CFO is in compliance with the IFRS. IFRS Standards are typically used by accountable entities. We should note that even though IFRS Standards are normally permitted, it is not required for every accountable entities.

In the scenario in the question, we are informed that the CFO does not include in consolidation the Lion Company, saying Lion does not have and is not in the process of having debt or equity instruments that are publically traded. In this case, the CFO is in compliance with the IFRS.

The divisions of a corporation, working together, accomplished an ROI that is greater than they did when each division worked independently. This corporation is said to have achieved ________.

Answers

Answer:

Synergy

Explanation:

Each of these division have now come together and have achieved more than they used to get independently.

This means that they have achieved synergy. Synergy occurs when two companies merge together, as in the case of this two divisons, and by merging they accomplish more together than they would have accomplished apart. synergies can be achieved through the creation or combination of products or markets.

Suppose that the stock return follows a normal distribution with mean 20% and standard deviation 40%. What is the 5% VaR (value-at-risk) for this stock

Answers

Answer:

The 5% VaR (value-at-risk) for this stock 0.858

Explanation:

Value at risk determines the value of the investment at risk of loss. It shows how much of the investment might lose in the given market conditions.

Now deter,ine the value at risk formula

Var = Mean + Standard Deviation x Z score value

Where

Mean = 20%

Standard Deviation = 40%

Z score value = Z Score at significance 5% = 1.645

Placing values in the formula

Var = 20% + 40% x 1.645

Var = 0.2 + 0.4 x 1.645

Var = 0.2 + 0.658

Var = 0.858

In the _____________ stage of a project the product is delivered to the customer and resources are released from the project

Answers

Answer: closing

Explanation:

The project life cycle is referred to as a framework that shows how projects successfully move from the beginning to the end.

It is in the closing stage that the product will be delivered to the customer and the resources are released from the project.

Product is termed as the management term for the goods and services that are availed by the firm to the customer at the prevailing price in the market as per the affordability of the customers.

The correct answer is a closing stage.  

The closing stage is termed as the stage in which the products or the projects both are withdrawn at the end of the events when the customer has been delivered with the desired goods and services.

The last stage of the project service life is really the Post Implementation Phase. Handing over deliverables to your customer, giving documents to the business, canceling supplier contracts, releasing workers and equipment, and notifying participants of the project's completion are all part of project closure.

To know more about the stages of the product and services that can be delivered, refer to the link below:

https://brainly.com/question/6508578

Luther's Operating Margin for the year ending December 31, 2008 is closest to: Group of answer choices 0.5% 0.7% 5.4% 6.8%

Answers

Answer:

the operating margin is 5.4%

Explanation:

The computation of the operating margin is shown below:

As we know that

Operating Margin = Operating Income ÷ Sales

= $31.3 ÷ $578.3

= 5.4%

Hence, the operating margin is 5.4%

It could be determined by dividing the operating income from the sales

the Quality Control element most directly related to assuring that the company has sufficient personnel with needed competence, capabilities, and commitment is

Answers

Answer:

Human resources (HR).

Explanation:

The Quality Control element most directly related to assuring that the company has sufficient personnel with needed competence, capabilities, and commitment is Human resources (HR).

Human resources (HR) can be defined as an art of managing, controlling and improving the number of people (employees or workers), functions, activities which are being used effectively and efficiently by an organization.

Hence, human resources managers are saddled with the responsibility of managing and improving the welfare and working conditions of the employees working in an organization.

Which of the following is NOT one of the suggested steps for time management? a. Work on tasks in order of importance b. Identify trivial activities c. Make a list every morning d. Impression management

Answers

Answer:

d. Impression management

Explanation:

In order to effectively manage ones time, it is important make a list of tasks and to order the tasks in order of importance. This would ensure that the most important tasks are done first.

It is also important to identify trivial tasks. Trivial tasks can be identified and eliminated.

Determine the number of cycles per day and the production quantity per cycle for this set of vehicles: Product Daily Quantity A 18 B 16 C 4 D 16

Answers

Answer:

The Number of cycles is 4

Product   Daily Quantity    Daily Unit per cycle

     A                 18                     18/4 = 4.5 units

     B                 16                     16/4 = 4 units

     C                 4                       4/4 = 1 unit

     D                 16                     16/4 = 4 units

What nominal return was received by an investor when inflation averaged 3.46% and the real rate of return was 2.5%

Answers

Answer:

Nominal rate of return= 0.0596 = 5.96%

Explanation:

Giving the following information:

Inflation averaged 3.46%

The real rate of return was 2.5%

To calculate the nominal rate of return, we need to use the following formula:

Real rate of return= nominal rate of return - inflation rate

Nominal rate of return= real rate of retunr + infaltion rate

Nominal rate of return= 0.0346 + 0.025

Nominal rate of return= 0.0596 = 5.96%

Compare the development of clustered rural settlements with dispersed rural settlements. In your paragraph, consider each of the following:

explanation or description of each advantages or purpose of such a community one specific example of its use.

Answers

Answer:

Dispersed settlement are simplex and uncommon while the compacted are common and densely populated.

Explanation:

The dispersed rural settlements are called scattered settlements, they are spread out in the entire area. The clustered settlements are nucleated or compact in nature and are closely build up houses.  The dispersed settlements are found along the tree lines, rivers, ponds and are sparsely populated. They are small groups of buildings ad are popular in the mid-west US. The clustered settlements are closely knitted and represent geometric patterns such as rectangular, radial, and linear. They are densely populated.

What is the standard deviation of returns of a portfolio that produced returns of 10%, 15%, 25%, and 30%

Answers

35404550556066707780

P&G sells cosmetics, laundry detergent, and products like Pringles to the ________ market by establishing strong brand images, developing superior products, ensuring their availability, and backing them with engaging communications and reliable performance"

Answers

Answer:

Consumer

Explanation:

A consumer market is simply defined as all the individuals and households who gets or purchase and acquire goods and services.

A Consumer is simply an individual who see, knows or is able to identifies a need or desire, thereafter buy the product and then disposes of the product during the three stages of the consumption process.

Situation I On January 1, 2020, Bramble, Inc. signed a fixed-price contract to have Builder Associates construct a major plant facility at a cost of $4,446,000. It was estimated that it would take 3 years to complete the project. Also on January 1, 2020, to finance the construction cost, Bramble borrowed $4,446,000 payable in 10 annual installments of $444,600, plus interest at the rate of 10%. During 2020, Bramble made deposit and progress payments totaling $1,667,250 under the contract; the weighted-average amount of accumulated expenditures was $889,200 for the year. The excess borrowed funds were invested in short-term securities, from which Bramble realized investment income of $269,200. What amount should Bramble report as capitalized interest at December 31, 2020

Answers

Answer:

$88,920  

Explanation:

capitalized interest = weighted average accumulated expenditure for the year x interest rate of the loan = $889,200 x 10% = $88,920

Capitalized interest can be added to the basis of the new building that is being constructed. This way, the building's depreciable value will increase.  

In your own words, define “ study habits.”

Answers

Answer:

Study skills, academic skill, or study strategies are approaches applied to learning. They are generally critical to success in school, considered essential for acquiring good grades, and useful for learning throughout one's life.

I don't know if that was the answer you were looking for.. but that's the best I can do.

Answer:

Study skills, academic skill, or study strategies are approaches applied to learning. They are generally critical to success in school, considered essential for acquiring good grades, and useful for learning throughout one's life.

Explanation: Hope it helps ^w^

On July 1, a company paid the $3,360 premium on a one-year insurance policy with benefits beginning on that date. What will be the insurance expense on the annual income statement for the first year ended December 31

Answers

Answer:

$1,680

Explanation:

Based On the information given if on July 1 the company paid the amount of $3360 as a premium on a year insurance policy which as well include benefits beginning on that date, What will be the insurance expenses on the annual income statement for the first year ended December is $1,680 Calculated as:

Insurance expenses=6/12*$3360

Insurance expenses=$1,680

Therefore What will be the insurance expenses on the annual income statement for the first year ended December is $1,680

An investment is expected to yield $300 in three years, $500 in five years, and $300 in seven years. What is the present value of this investment if our opportunity rate is 5%

Answers

Answer:

Total PV= $864.11

Explanation:

Giving the following information:

Cash flows:

Cf3= $300

Cf5= $500

Cf7= $300

Opportunity rate= 5%

To calculate the total present value, we need to use the following formula on each cash flow:

PV= FV/(1+i)^n

PV1= 300/(1.05^3)= 259.15

PV2= 500/(1.05^5)= 391.76

PV3= 300/(1.05^7)= 213.20

Total PV= $864.11

In a competitive market, the quantity of a product produced and the price of the product are determined by:

Answers

Answer:

All buyers and sellers

Explanation:

A competitive market is a market where there are lots of producers who produces goods and service hence compete with one another with a view to providing and supplying goods and services that suits the needs of consumers.

In a competitive market, there are no barriers to entry and exit. Also, there are many buyers and sellers, hence there is adequate information about the price of a product. There are also no cost attached to transactions, undifferentiated products and both buyers and sellers determines the quantity of a product produced and the price of the product.

When preparing a trial balance worksheet, what step would Tom complete next if he has already prepared a trial balance, adjusted entries and prepared an adjusted trial balance

Answers

Answer:

He must prepare the income statement.

Explanation:

The last entries of the trial balance are temporary accounts that belong to the income statement. Tom should focus on them after finishing the adjusted trial balance. After he prepares the income statement, then he can proceed to close all the temporary accounts and calculate retained earnings.

What are some of the advantages and disadvantages of a) individuals as innovators, b) firms as innovators, c) universities as innovators, d) government institutions as innovators, e) nonprofit organizations as innovators

Answers

Answer:

a. Individuals as innovators

Advantages

1. Individuals have no limits (no hard rules) as to whom they can sell their innovation to.

2. An individual can be able lead a successful career with their innovation is any company

Disadvantages

1. Capital is a major limit for most individuals who may not be able to market their innovations.

2. Lack of Knowledge in Patenting innovation ideas have led to most individuals losing their innovation to others.

b. firms as innovators

Advantages

1. Successful innovation can help a firm improve its processes and increase its revenues.

2. Innovation in a unique product can often lead a firm to monopoly as the product becomes a necessity

Disadvantages

1. Firms have more rivalry such that others can copy the innovation or produce another close substitute which can render all efforts to a loss.

2.It takes so much time for the innovation to be approved in a firm as some structures of authority have to be followed and also depending on the culture of the firm towards innovation.

c. universities as innovators

Advantages

1. Universities are better able to raise capital through the Research Funds granted to them by stakeholders.

2. Innovation increases a University`s reputation and improves it rankings.

Disadvantages

1. High dependence on government agencies for funding by Universities means Innovation successes are easily affected by the fiscus.

2. Universities are not effective at marketing Innovations on their own.

d. government institutions as innovators

Advantages

1. The government can increase revenue by improving processes and cutting costs.

2. Innovation can improve transparency and help improve governance and administration.

Disadvantages

1. Adoption of innovation is usually slow as it has to pass so much bureaucracy.

2. Most personnel prefer working in private institutions hence the personnel to drive innovation in governments may be unavailable or inadequate

e. nonprofit organizations as innovators

Advantages

1. There is so much option for funding of innovations ranging from Individuals, Companies and Government

2. Most innovations are driven by Human Need hence their increased success.

Disadvantages

1. The innovation may not be able to generate the revenue to cover the costs.

2. The organizations are usually lacking personal's to drive innovations as people prefer to be paid more for their work.

Explanation:

Innovation is defined as the creation, development and implementation of a new product, process or service. The aim of  innovation is to  improve efficiency, effectiveness or competitive advantage. Innovation presents advantages and disadvantages to various players as listed above.

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