2. Tom borrowed Php500,000 from her parents to open a spa. He pays her parents a 5% yearly return on the money they lent her. Her other yearly fixed costs equal Php150,000 and his variable costs equal Php200,000. In her first year, Tom had a total of 2,000 customers at a price of Php300/customer. Tom's total fixed cost is 675000 – WRC
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- Suppose you sell items on a web site like Etsy and making them requires you to rent some equipment costing $1000 per year as a fixed cost. The materials for making these items cost $30 per item as a variable cost, and you sell them for a price of $50 each. What number of items D' must you make and sell each year for you to breakeven on the cost of this activity? You may be able to raise your sales price and then sell fewer items to maximize profit. Since other people make and sell similar items, a higher price lowers the demand for your product according to the price function p = $120 - 1.5 D. What is the profit maximizing number of items D* that you would need to make and sell to maximize profit? What is the profit earned for the annual number of items made and sold in part b?8. Tom borrowed Php500,000 from her parents to open a spa. He pays her parents a 5% yearly return on the money they lent her. Her other yearly fixed costs equal Php150,000 and his variable costs equal Php200,000. In her first year, Tom had a total of 2,000 customers at a price of Php300/customer. Tom's total economic profit isPanda Toys Inc. plans to sell one line of its panda toys for $ 20. The material cost per unit is $4 and unit labor cost is $6. The annual overhead fixed costs are $ 500,000 and the promotion and advertising cost is $100,000. If the unit labor cost is dropped to $ 5, what is the $BEP for the company? O $1,200.000 $1.000.000 O $1,050.000 O $1,300.000 O $1.090.920
- Yesha’s Flower Shop offers different kinds of flower like roses, daisy and sunflower. Upon checking the profit of each item, daisy is the lowest last year (2020). She is thinking of stop offering daisy or continue it. The daisy flower has a fixed cost of Php 45 and has the following variable costs shown below. Worker No. of Daisy Flower Variable Cost 0 0 0 1 90 12 2 200 24 3 260 36 4 300 48 5 330 60 Compute the Total cost and Marginal cost for each worker. Compute the Total Revenue for each worker if the price is 0.35. Compute the Profit for each worker. What should be Yesha’s decision based on your answers?A trailer manufactor has multiple products designed to be towed by a pickup (Ford F-150, Toyota Tacoma, etc). The production of one of their products - the XL7 5x10 trailer - referred to as XL7510 here, has a fixed 9 cost of $62,308 and a variable cost per unit of XL7510 equal to 202 + - dollars, where is the total 10 number of XL7510s produced. Suppose further that the selling price of this product is 1118 The x-values of the break-even points are The maximum revenue is Form the profit function: P(x) = = The maximum profit is The price that will maximize profit is 1 - dollars per unit of XL7510. 10 dollars (round to the nearest cent) dollars (round to the nearest cent)Q/ Machine A has a fixed cost of $40000 per year and a variable cost of S60 per unit. Machine B has an unknown fixed cost, but with this process 200 units can be produced each month at a total variable cost of $2000, If the total costs of the two machines break even at a production rate of 2000 units per year, what is the fixed cost of machine B? Let FCB - fixed cost for B. Variable cost for B = 2000/200 = S10/unit Total costs are equal at 2000 units per year. Then, 40,000 + 60(2000 units) = FCB + 10(2000 units) FCB = $140,000 per year
- ECONOMICS UPVOTE WILL BE GIVEN. PLEASE WRITE THE SOLUTIONS LEGIBLY. NO LONG EXPLANATION NEEDED. A production plant has the capacity to produce 2,000 tons per year. At full capacity, there are total variable costs of Php 100,000,000 and fixed costs of Php 35,000,000.a. What is the annual profit for the plant when working at full capacity (2,000 tons) and the product sells for Php 40 per pound?b. What is the total cost per pound at full capacity?Given that fixed cost -330 and varioble cost+120: the total varioble cost of producing 30 units of output is 690 360 O 330 40 470When Molly Lai purchased the Clean Clothes Corner Laundry, she thought that she would automaticallygenerate good business if she improved the laundry’s physical appearance because it was in a good locationnear several high-income neighborhoods. Thus, she initially invested a lot of her cash reserves in remodelingthe exterior and interior of the laundry. However, she just about broke even in the year following her laundryacquisition, which she didn’t feel was a sufficient return, given how hard she had worked. Molly didn’t realizethat the dry-cleaning business is very competitive. Success is based more on price and quality service, includingquick service, than on the laundry’s appearance.To improve her service, Molly is considering purchasing new dry-cleaning equipment, including a pressingmachine that could substantially increase the speed at which she can dry-clean clothes and improve theirappearance. The new machinery costs ₱16,200 installed and can clean 40 clothes items per hour…
- SOLVE STEP BY STEP IN DIGITAL FORMAT The company Cielito S.A. It manufactures clothing for older adults and has a large presence in Mexico, due to the comfort and good taste of its garments. It has 60 seamstresses who work 8 hours a day; Indirect manufacturing expenses are $9,500.00 MXN. Every day Cielito S.A. produces 1,500 garments. The cost per hour of labor is $55.00 MXN. With this data, you must calculate: a. Labor or labor productivity. b. The productivity of manufacturing indirect expenses. c. The total productivity of Cielito S.A.9. A plant can produce 300 ceramic plates per working day. The direct cost for producing each plate is P25, the overhead cost is P150,000 per year and the fixed cost is P450,000 per year. If the plant operates 300 days in a year, by how much should the plates be sold in pesos per dozen to realize a gross profit of 20% over total production cost? A. P420 B. P432 C. P456 I DO D. P445When Molly Lai purchased the Clean Clothes Corner Laundry, she thought that she would automaticallygenerate good business if she improved the laundry’s physical appearance because it was in a good locationnear several high-income neighborhoods. Thus, she initially invested a lot of her cash reserves in remodelingthe exterior and interior of the laundry. However, she just about broke even in the year following her laundryacquisition, which she didn’t feel was a sufficient return, given how hard she had worked. Molly didn’t realizethat the dry-cleaning business is very competitive. Success is based more on price and quality service, includingquick service, than on the laundry’s appearance.To improve her service, Molly is considering purchasing new dry-cleaning equipment, including a pressingmachine that could substantially increase the speed at which she can dry-clean clothes and improve theirappearance. The new machinery costs ₱16,200 installed and can clean 40 clothes items per hour…