Business, 19.03.2020 21:07 emilycolley2

Liu, Inc. creates DVDs for major film companies. Over the past two years, Liu has only used one machine to burn the DVDs. This machine had the capacity to burn 50,000 DVDs per month. This year Liu purchased a brand new machine for burning the DVDs that had additional capacity of 60,000 DVDs per month and a cost of $2,275,000. He estimates the machine has a useful life of five years. Before production of DVDs, Liu purchases blank DVDs from a domestic supplier at a cost of $0.25 / DVD. The manufacturing process requires two line workers; one to run the machine and one to package the DVDs. These employees are paid $0.05 / DVD produced (each). Cost of packaging is $1.75 / DVD. Additionally, Liu hired a production supervisor and is paying her $ 65,000 / year in salary and pays $ 9,000 / year in insurance. This year Liu estimates he will produce and sell a total of 1,000,000 DVDs (sales price = $5.50 / DVD).

Which one is NOT a variable cost?

Answers: 3

Show answers

Another question on Business

Business, 21.06.2019 20:30

Which of the following best describes the purpose of raising and lowering the required reserve ratio? a. to make sure that government spending does not result in either a surplus or deficit. b. to stimulate economic growth by making it less expensive for producers to get loans. c. to manage the economy by increasing or decreasing the amount of loans being made. d. to regulate the activity of private banks to assure an equitable distribution of wealth. 2b2t

Answers: 3

Answer

Business, 22.06.2019 03:30

Lindon company is the exclusive distributor for an automotive product that sells for $30.00 per unit and has a cm ratio of 30%. the company’s fixed expenses are $162,000 per year. the company plans to sell 20,200 units this year. required: 1. what are the variable expenses per unit? (round your "per unit" answer to 2 decimal places.) 2. what is the break-even point in unit sales and in dollar sales? 3. what amount of unit sales and dollar sales is required to attain a target profit of $72,000 per year? 4. assume that by using a more efficient shipper, the company is able to reduce its variable expenses by $3.00 per unit. what is the company’s new break-even point in unit sales and in dollar sales? what dollar sales is required to attain a target profit of $72,000?

Answers: 2

Answer

Business, 22.06.2019 04:00

Last week paul, ceo of quality furniture in south carolina, traveled to europe to visit customers. while overseas, paul checked his e-mail daily and showed his company's website to customers, explaining how the website will them place orders and receive merchandise more quickly. after visiting the last customer friday morning, paul was able to return to the corporate office in south carolina to meet with his board of directors that night. is the "shrinking" of time and space with air travel and electronic media.

Answers: 1

Answer

Business, 22.06.2019 05:00

Which of the following are considered needs? check all that apply

Answers: 1

Answer

You know the right answer?

Liu, Inc. creates DVDs for major film companies. Over the past two years, Liu has only used one mach...

Questions