subject
Business, 27.03.2020 04:26 melkumathurin

Black Cat Corp manufactures a product with the following full unit costs at a volume of 4,000 units:
Direct materials $ 200
Direct labor 80
Manufacturing overhead (30% variable) 150
Fixed Selling expenses 50
Administrative expenses (10% variable) 80
Total per unit $560
A company recently approached Black Cat's management with an offer to purchase 450 units for $550 each. Black Cat currently sells the product to dealers for $800 each. Black Cat's capacity is sufficient to produce the extra 450 units. No selling expenses would be incurred on the special order. If Black Cat's management accepts the offer, profits will
1. increase by $97,650
2. decrease by $24,000
3. increase by $66,800
4. decrease by $120,000

ansver
Answers: 3

Another question on Business

question
Business, 22.06.2019 11:40
On january 1, 2017, sophie's sunlounge owned 4 tanning beds valued at $20,000. during 2017, sophie's bought 3 new beds at a total cost of $14 comma 000, and at the end of the year the market value of all of sophie's beds was $24 comma 000. what was sophie's net investment
Answers: 3
question
Business, 22.06.2019 12:30
True or false entrepreneurs try to meet the needs of the marketplace by supplying a service or product
Answers: 1
question
Business, 22.06.2019 15:30
Uknow what i love about i ask a dumb question it is immediately answered but when i ask a real question it take like an hour to get answered
Answers: 2
question
Business, 23.06.2019 01:00
The monthly demand equation for an electric utility company is estimated to be p equals 60 minus left parenthesis 10 superscript negative 5 baseline right parenthesis x, where p is measured in dollars and x is measured in thousands of killowatt-hours. the utility has fixed costs of $3 comma 000 comma 000 per month and variable costs of $32 per 1000 kilowatt-hours of electricity generated, so the cost function is upper c left parenthesis x right parenthesis equals 3 times 10 superscript 6 baseline plus 32 x. (a) find the value of x and the corresponding price for 1000 kilowatt-hours that maximize the utility's profit. (b) suppose that the rising fuel costs increase the utility's variable costs from $32 to $38, so its new cost function is upper c 1 left parenthesis x right parenthesis equals 3 times 10 superscript 6 baseline plus 38 x. should the utility pass all this increase of $6 per thousand kilowatt-hours on to the consumers?
Answers: 2
You know the right answer?
Black Cat Corp manufactures a product with the following full unit costs at a volume of 4,000 units:...
Questions
question
Mathematics, 29.09.2021 01:00
question
Mathematics, 29.09.2021 01:10
question
Computers and Technology, 29.09.2021 01:10
Questions on the website: 13722367