Reference no: EM13498585
Santana Rey expects second quarter 2012 sales of her new line of computer furniture to be the same as the first quarter sales (reported below) without any changes in strategy. Monthly sales averaged 40 desk units (sales price of $1,250) and 20 chairs (sales price of $500).
![1861_table 4.png](https://secure.expertsmind.com/CMSImages/1861_table%204.png)
*Reflect revenue and expense activity only related to the computer furniture segment.
†Revenue: (120 desks X $1,250)+ (60 chairs X $500) = $150,000+$30,00 + $180,000
‡ Cost of goods sold: (120 chairs C $750) + (60 chairs X $250) + $10,000 = $115,000
Santana Rey believes that sales will increase each month for the next three months (April - 48 desks, 32 chairs: May - 52 desks, 35 chairs: June - 56 desks, 38 chairs) if selling prices are reduced to $1,150 for desks and $450 for chairs, and advertising expenses are increased by 10% and remain at that level for all three months. The products' variable cost will remain at $750 for desks and $250 for chairs. The sales staff will continue to earn a 10% commission, the fixed manufacturing costs per month will remain at $10,000 and other fixed expenses will remain at $6,000 per month.
Questions:
1. Prepare budgeted income statements for each of the months of April, May, and June that show the expected results from implementing the proposed changes. Use a three-column format, with one column for each month.
2. Use the budgeted income statements from part 1 to recommend whether Santana Rey should implement the proposed changes. Explain.
Find the magnetic flux through the solenoid
: A solenoid that has a length equal to 24.6 cm, a radius equal to 0.842 cm, Find the magnetic flux through the solenoid
|
Compute the payback period
: Santana Rey is considering the purchase of equipment for Business Solutions that would allow the company to add a new product to its computer furniture line.
|
Determine the work done on the suitcase by the force
: A luggage handler pulls a suitcase of mass 30.8 KG up a ramp inclined at an angle 18.3 degrees above the horizontal by a force of magnitude 290 N that acts parallel to the ramp. Calculate the work done on the suitcase by the force
|
Explain what is the total vapor pressure ptotal solution
: A solution is composed of 1.60 mol cyclohexane (P=97.6 torr) and 2.10 mol acetone (P=229.5 torr). What is the total vapor pressure Ptotal above this solution? Express your answer numerically in torr.
|
Use the budgeted income statements
: Santana Rey expects second quarter 2012 sales of her new line of computer furniture to be the same as the first quarter sales (reported below) without any changes in strategy. Monthly sales averaged 40 desk units (sales price of $1,250) and 20..
|
Explain the vapor pressure of pure water
: If 0.420 mol of a nonvolatile nonelectrolyte are dissolved in 3.90 mol of water, what is the vapor pressure PH2O of the resulting solution. The vapor pressure of pure water is 23.8 torr at 25.0 degrees C. Express your answer numerically in torr.
|
Ad-as open economy model
: AD-AS Open Economy Model
|
What is the total cost of job
: Which approach to assigning overhead gives a better representation of the costs incurred to produce Job 6.15? Explain.
|
Explain what mass of sucrose in grams should be combined
: What mass of sucrose, in grams should be combined with 531g of water to make a solution with an osmotic pressure of 8.95atm at 315K
|