Reference no: EM13171680
1REQUIRED
1.1 Calculate the additional expenditure that the company can afford on advertising.
1.2 Calculate the total revenues at break-even using the contribution margin ratio if the sales managers proposal is rejected.
1.3 Calculate the selling price per unit that will enable the company to break-even if the sales manager's proposal is accepted.
INFORMATION
Sirloin Enterprises manufactures a product that sells for R9 each. The company presently produces and sells 90 000 units per year. Unit variable manufacturing and selling expenses are R4.50 and R0.90 respectively. Fixed costs are R226 800 for factory overheads and
R97 200 for selling and administrative activities. The sales manager haS proposed that the price be increased to R10.80 per unit. To maintain the present sales volume, advertising must be increased. The company's profit objective is 10% of sales.
Q2 REQUIRED
Suppose Mokia Limited wants to earn an operating profit of R450 000 from the battery sales. How much can it afford to spend on variable cost per unit if production and sales equal 20 000 units?
INFORMATION Following substantial research, Mokia Limited is confident that it can make and sell a new battery with a prolonged life for mobile phones (cell phones). The management anticipates the market demand for the new battery to be 20 000 units per year if the battery is priced at R75 per unit. The company's accountants and engineers estimate that the fixed costs of producing between 18 000 and 24 000 units is R225 000.
Q3 REQUIRED
What must the contribution margin ratio be if Seagull Limited wants to increase its operating profit by 10.40 000 in 2013?
INFORMATION
During 2012 Seagull Limited had a contribution margin ratio of 30% with variable costs amounting to R700 000. In 2013 fixed costs are expected to remain at R240 000, and sales are expected to be 10% higher than 2012.
|
Calculate the molar heat of combustion of liquid methanol
: If the mass of water surrounding the calorimeter was exactly 1000 g and the heat capacity of the bomb calorimeter was 1.75 kJ/°C, calculate the molar heat of combustion of liquid methanol .
|
|
State what is the kelvin temp of the gas
: the total average change in KE of gas molecules in the container is equal to the the sum of KE of an 8,0x10^-3 -Kg bullet with speed of 770 m/s. what is the Kelvin temp of the gas?
|
|
Masterminding a major tax fraud scheme
: Ned Numbers, an accountant, is suspected of masterminding a major tax fraud scheme. Armed with a warrant for his arrest, IRS agents entered his 15-room home in Boca Raton, found Ned sitting at his desk in the study, and placed him under arrest.
|
|
Global markets to poor-low income-indigenous communities
: Identify two potential positives and two negatives direct marketing of the poor has on people and their economies. What theory of development is most applicable to the expansion of global markets to poor, low income, and indigenous communities?
|
|
Calculate additional expenditure that company can afford
: What must the contribution margin ratio be if Seagull Limited wants to increase its operating profit by 10.40 000 in 2013 and calculate the additional expenditure that the company can afford on advertising.
|
|
What is the maximum mass of cus
: What is the maximum mass of CuS which can be formed when 38.0 mL of 0.500 M CuCl2 are mixed with 42.0 mL of 0.600 M (NH4)2S? Aqueous ammonium chloride is the other product.
|
|
Calculate the ph at the equivalence point
: Calculate the pH at the equivalence point in a 0.10 M acetic acid/0.10 M sodium hydroxide titration when 27.4 mL of NaOH was used in titration.
|
|
Identify a and b, and write the reactions
: write the reactions. Also, identify the minor alkene product,C.
|
|
Explain when the temperature is increased
: When the temperature is increased from 164.5°C to 179.0°C, the rate constant increases by a factor of 4.27. What is the activation energy of this oxidation reaction?
|