1 answer

# Cheryl Montoya picked up the phone and called her boss, Wes Chan, the vice president of...

###### Question:

Cheryl Montoya picked up the phone and called her boss, Wes Chan, the vice president of marketing at Piedmont Fasteners Corporation: “Wes, I’m not sure how to go about answering the questions that came up at the meeting with the president yesterday.” "What's the problem?" “The president wanted to know the break-even point for each of the company’s products, but I am having trouble figuring them out.” “I’m sure you can handle it, Cheryl. And, by the way, I need your analysis on my desk tomorrow morning at 8:00 sharp in time for the follow-up meeting at 9:00.” Piedmont Fasteners Corporation makes three different clothing fasteners in its manufacturing facility in North Carolina.

Data concerning these products appear below:

Velcro Metal Nylon

Annual sales volume       102,000   192,000   295,000
Unit selling price $1.70$1.80      $1.10 Variable expense per unit$ 0.80    $1.10$ 0.90

Total fixed expenses are $255,000 per year. All three products are sold in highly competitive markets, so the company is unable to raise prices without losing an unacceptable numbers of customers. The company has an extremely effective lean production system, so there are no beginning or ending work in process or finished goods inventories. 2. Of the total fixed expenses of$255,000, $19,620 could be avoided if the Velcro product is dropped,$119,700 if the Metal product is dropped, and $39,000 if the Nylon product is dropped. The remaining fixed expenses of$76,680 consist of common fixed expenses such as administrative salaries and rent on the factory building that could be avoided only by going out of business entirely.
a. What is the break-even point in unit sales for each product?
b. If the company sells exactly the break-even quantity of each product, what will be the overall profit of the company?

## Answers

#### Similar Solved Questions

1 answer
##### 12. What is disseminated intravascular coagulation (DIC)? Briefly describe the cause, typical signs, symptoms and what...
12. What is disseminated intravascular coagulation (DIC)? Briefly describe the cause, typical signs, symptoms and what the potential adverse outcomes might be if this condition cannot be treated 13. What is a reason that non-Hodgkin's lymphomas are often more difficult to harder to treat than Ho...
1 answer
##### APL 1/2 x 2 steel bar with nu = -0.33 and E - 29000 ksi is...
APL 1/2 x 2 steel bar with nu = -0.33 and E - 29000 ksi is axially loaded is compression with a load of P-40k. The lateral strain in the bar due to the Poisson's effect is: O 4.55 x 10-4 0 -4.55 x 10-4 0 4,978 x 10-4 O 4.978 x 10-4...
1 answer
##### Someone throws a ball upward with an initial velocity of vi. Use the free fall equations...
Someone throws a ball upward with an initial velocity of vi. Use the free fall equations to determine and show the final velocity vf the ball has when it returns to the height from which it was released (hint you want a final equation that contains those two variables and no others). (further hint: ...
1 answer
##### Class: experimental methots Problem 1 (25 Pts) Consider the OP amp circuit shown below with R...
class: experimental methots Problem 1 (25 Pts) Consider the OP amp circuit shown below with R = 100kN and C = 1(10)-5F: Part a) 10 pts Find the complex transfer functions for the circuit in terms of frequency f(Hz). Part b) 5 pts Compute the gain ofat as a function of frequency f(Hz). Parte) 10 p...
1 answer
##### Be sure to always explain an answer and label graphs. 1) Consider the market for desktop...
Be sure to always explain an answer and label graphs. 1) Consider the market for desktop computers. Show graphically and explain using economie intuition under each of the following cases. (Do each case separately.) a) The American economy strengthens and incomes rise. b) New technology makes produc...
1 answer
##### What impact did the end of WWII have on Japan's military and industry?
What impact did the end of WWII have on Japan's military and industry?...
1 answer
##### All required info in picture 14. Here is a 4x3 memory: Word 0 Word 1 Ward 2 Word 3 Outy Ounl Outy In, D Q D Q Word O Select Word 3 Solect Word 1 Word 2 Write Clock So S, FIGURE 3.32 4 x 3 Memory a...
all required info in picture 14. Here is a 4x3 memory: Word 0 Word 1 Ward 2 Word 3 Outy Ounl Outy In, D Q D Q Word O Select Word 3 Solect Word 1 Word 2 Write Clock So S, FIGURE 3.32 4 x 3 Memory a. Draw a truth table with inputs S1 and SO and an output indicating which word would be selected. b. Let...
1 answer
##### Problem 12-2 The following table lists the components needed to assemble an end item, lead times,...
Problem 12-2 The following table lists the components needed to assemble an end item, lead times, and quantities on hand. End E F Item LT (wk) Amount on hand 1 B 3 7 с 3 12 D 3 22 1 1 G 1 6 H 1 0 0 8 32 End Item B (2) C D (3) E (2) F (3) G (2) E (2) H14) E (2) a. If 23 units of the end item ar...
1 answer
##### Which of the following proper subsets of R contain their suprema but do not contain their...
Which of the following proper subsets of R contain their suprema but do not contain their infinima? 6 Multiple answers: You can select more than one option OA (a:b B (a,b) union with (a-10,b-10] Oc(5:15) O D (-5:16) union with [5:10] OE (-6,3] intersected with (2,5)...
1 answer
##### 0.2 The child's sex is determined by the: number of X chromosomes in the ovum. O...
0.2 The child's sex is determined by the: number of X chromosomes in the ovum. O sperm, which contains wither an X or a Y chromosome ovum, which contributes either an X or a Y chromosome dominance of either the X or Y chromosome...
1 answer
##### Are there avenues to avoid bias in Nursing Research? If so provide an example. (please do...
Are there avenues to avoid bias in Nursing Research? If so provide an example. (please do not plagiarize)...
1 answer
##### Find the eigenvalues and eigenvectors of the matrix A - = -3 10 2 —4
Find the eigenvalues and eigenvectors of the matrix A - = -3 10 2 —4...
1 answer
##### What is the parallax of a star that is 12.00 light-years away in arcseconds?
What is the parallax of a star that is 12.00 light-years away in arcseconds?...
1 answer
##### You note the following yield curve in The Wall Street Journal. According to the unbiased expectations...
You note the following yield curve in The Wall Street Journal. According to the unbiased expectations theory, what is the one-year forward rate for the period beginning two years from today, 3f1? (Do not round intermediate calculations. Round your answer to 2 decimal places. (e.g., 32.16)) Maturi...
1 answer
##### Thanks for the help! EMD Corporation manufactures two products, Product S and Product W. Product W...
Thanks for the help! EMD Corporation manufactures two products, Product S and Product W. Product W is of fairly recent origin, having been developed as an attempt to enter a market closely related to that of Product W. Product W is the more complex of the two products, requiring 3 hours ...
1 answer
##### Please analyze this IR this is an IR for a diester, dialkyl terephthalate line Correct 135597...
please analyze this IR this is an IR for a diester, dialkyl terephthalate line Correct 135597 3000 2500 2000 1750 1500 1250 1000 750 500 CLab Solutions Lab Solutions DataGast Org dataFall 2019VEXPT Suesdayand meerd SH 50 R ON...