Business, 30.08.2021 17:00 mprjug6

Custom Motorcycles is considering whether to expand into Germany. If gas prices increase, the company expects more interest in fuel-efficient transportation such as motorcycles. As a result, the company is considering setting up a motorcycle assembly plant on the outskirts of Berlin. Custom Motorcycles estimates it will cost $930,000 to convert an existing building to motorcycle production. Workers will need training, at a total cost of $90,000. The additional costs to organize the business and to establish relationships is estimated to be $190,000. The CEO believes the company can earn profits from this expansion (before considering the costs in the preceding paragraph) of $1,776,000.

Required:
Use cost-beneft analysis to determine whether EagleRoider should expand into Germany.

Answers: 1

Show answers

Another question on Business

Business, 22.06.2019 03:00

What is the relationship between marginal external cost, marginal social cost, and marginal private cost? a. marginal social cost equals marginal private cost plus marginal external cost. b. marginal private cost plus marginal social cost equals marginal external cost. c. marginal social cost plus marginal external cost equals marginal private cost. d. marginal external cost equals marginal private cost minus marginal social cost. marginal external cost a. is expressed in dollars, so it is not an opportunity cost b. is an opportunity cost borne by someone other than the producer c. is equal to two times the marginal private cost d. is a convenient economics concept that is not real

Answers: 3

Answer

Business, 22.06.2019 11:10

Which feature is a characteristic of a corporation?

Answers: 1

Answer

Business, 22.06.2019 20:20

Precision aviation had a profit margin of 6.25%, a total assets turnover of 1.5, and an equity multiplier of 1.8. what was the firm's roe? a. 15.23%b. 16.03%c. 16.88%d. 17.72%e. 18.60%

Answers: 2

Answer

Business, 22.06.2019 22:00

On january 8, the end of the first weekly pay period of the year, regis company's payroll register showed that its employees earned $22,760 of office salaries and $70,840 of sales salaries. withholdings from the employees' salaries include fica social security taxes at the rate of 6.20%, fica medicare taxes at the rate of 1.45%, $13,260 of federal income taxes, $1,450 of medical insurance deductions, and $860 of union dues. no employee earned more than $7,000 in this first pay period. required: 1.1 calculate below the amounts for each of these four taxes of regis company. regis’s merit rating reduces its state unemployment tax rate to 3% of the first $7,000 paid to each employee. the federal unemployment tax rate is 0.60

Answers: 3

Answer

You know the right answer?

Custom Motorcycles is considering whether to expand into Germany. If gas prices increase, the compa...

Questions