Subsidiary need to sell in order to break even

Assignment Help Business Management
Reference no: EM133377956

The Thai Corporation has sales subsidiaries around the world. As a rule of thumb, each new established subsidiary should be able to reach its break-even point during year 2. After 18 months of business activity in Thailand, The Thai Corporation's Thai sales subsidiary generated a sales volume of 200,000 units. Its variable costs are $5 per unit and ?xed costs at this level equal $750,000.

a. In year 2, at a sales price of $17 per unit, how many units does the subsidiary need to sell in order to break even?

b. Do you think the company will make a pro?t if last year's sales are a good indicator of future sales?

Reference no: EM133377956

Questions Cloud

Difference between manipulation-persuasion and influence : What is the difference between manipulation, persuasion, and influence when it comes to negotiation? How do relational skills relate or not relate?
Discuss and share strategic it plan : You are taking an interview with an IT person in the healthcare field. You are taking an interview with an IT person in the Department of Social Services.
Product which reflect benefits to client : The product you choose should has a website with lots of information about the product which reflect the benefits to the client.
Provide good governance oversight : Which actions should Theranos' board of directors have taken to provide good governance oversight and prevent this fraud from occurring?
Subsidiary need to sell in order to break even : In year 2, at a sales price of $17 per unit, how many units does the subsidiary need to sell in order to break even?
Casual attire at work : What are the levels of measurement for each of the variables in this study? Explain your reasoning.
Create training matrix : Create a training matrix based on a manufacturing company.
Moral hazard or adverse selection : How might information asymmetries particularly manifest in the context of Green Bonds Is it typically an example of Moral Hazard or Adverse Selection?
What are ethical implications of this information : What are the Ethical Implications of this information to the retailers, for the consumer, etc.?

Reviews

Write a Review

Business Management Questions & Answers

  Caselet on michael porter’s value chain management

The assignment in management is a two part assignment dealing 1.Theory of function of management. 2. Operations and Controlling.

  Mountain man brewing company

Mountain Man Brewing, a family owned business where Chris Prangel, the son of the president joins. Due to increase in the preference for light beer drinkers, Chris Prangel wants to introduce light beer version in Mountain Man. An analysis into the la..

  Mountain man brewing company

Mountain Man Brewing, a family owned business where Chris Prangel, the son of the president joins. An analysis into the launch of Mountain Man Light over the present Mountain Man Lager.

  Analysis of the case using the doing ethics technique

Analysis of the case using the Doing Ethics Technique (DET). Analysis of the ethical issue(s) from the perspective of an ICT professional, using the ACS Code of  Conduct and properly relating clauses from the ACS Code of Conduct to the ethical issue.

  Affiliations and partnerships

Affiliations and partnerships are frequently used to reach a larger local audience? Which options stand to avail for the Hotel manager and what problems do these pose.

  Innovation-friendly regulations

What influence (if any) can organizations exercise to encourage ‘innovation-friendly' regulations?

  Effect of regional and corporate cultural issues

Present your findings as a group powerpoint with an audio file. In addition individually write up your own conclusions as to the effects of regional cultural issues on the corporate organisational culture of this multinational company as it conducts ..

  Structure of business plan

This assignment shows a structure of business plan. The task is to write a business plane about a Diet Shop.

  Identify the purposes of different types of organisations

Identify the purposes of different types of organisations.

  Entrepreneur case study for analysis

Entrepreneur Case Study for Analysis. Analyze Robin Wolaner's suitability to be an entrepreneur

  Forecasting and business analysis

This problem requires you to apply your cross-sectional analysis skills to a real cross-sectional data set with the goal of answering a specific research question.

  Educational instructional leadership

Prepare a major handout on the key principles of instructional leadership

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd