Business, 25.08.2021 03:20 wgdelgado

Jonathan Edwards is evaluating a business opportunity to sell cookware at trade shows. Mr. Edwards can buy the cookware at a wholesale cost of $390 per set. He plans to sell the cookware for $470 per set. He estimates fixed costs such as plane fare, booth rental cost, and lodging to be $5,600 per trade show. A) Determine the number of cookware sets Mr. Edwards must sell at a trade show to break even (zero profit or loss). Use the following structure to answer this question:
a. Determine the amount of the contribution margin per unit.
b. Calculate the break-even point in units.
c. Calculate the break-even point in sales dollars.
B) Assume Mr. Edwards desires to earn a profit of $6,400 per show.
a. Determine the sales volume in units (sets of cookware) necessary to earn the desired profit.
b. Determine the sales volume in dollars necessary to earn the desired profit.

Answers: 1

Show answers

Another question on Business

Business, 21.06.2019 19:00

If a company’s employees are angry about their work, a visiting auditor may also become agitated, illustrating the power of

Answers: 1

Answer

Business, 22.06.2019 06:30

If a seller prepaid the taxes of $4,400 and the closing is set for may 19, using the 12 month/30 day method what will the buyer owe the seller as prorated taxes?

Answers: 1

Answer

Business, 22.06.2019 08:00

Who is not spending wisely? erika goes shopping and saves her receipts. she totals how much she spent and writes it down. mia needs to buy a new pair of shoes because she joined the soccer team. she looks at newspaper ads to find the best price. lauren has been thinking about getting a puppy for a long time. she walks by the pet store at the mall and decides to get a puppy. erin makes a purchase online using a credit card. she knows that she can pay the entire bill when it arrives.

Answers: 2

Answer

Business, 22.06.2019 18:50

Plastic and steel are substitutes in the production of body panels for certain automobiles. if the price of plastic increases, with other things remaining the same, we would expect: a) the demand curve for plastic to shift to the left. b) the price of steel to fall. c) the demand curve for steel to shift to the left d) nothing to happen to steel because it is only a substitute for plastic. e) the demand curve for steel to shift to the right

Answers: 3

Answer

You know the right answer?

Jonathan Edwards is evaluating a business opportunity to sell cookware at trade shows. Mr. Edwards c...

Questions