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Question 1: Tourson's, a local manufacturer of a product that sells for $13.50 per unit. Variable cost per unit is $7.85 and the fixed cost per period is $1 220. The capacity per period is 1100 units. (a) Find the total cost function and total revenue function (b) Equation for the Break-even point (c) Calculate break-even sales (d) Calculate Break even Revenue (e) Calculate Break-even point as a percent of capacity.
Question 2: Olivia receives a semi-monthly salary of $1664 and works a regular workweek of 40 hours. a) What is Olivia's hourly rate of pay? b) If Olivia's gross earnings in one pay period were $187.20, for how many hours of overtime was she paid at time and one-half regular pay? (c) If she receives a 6% commission on the monthly sales, how much commission will she get on the monthly sale of $25000?
Question 3: Sales from a new product called Scrubby are $ 40000. The fixed cost per period is 12600, variable cost is 16000. The capacity at the sales maximum is 60000. (a) Write the formula and find the unit contribution margin and contribution rate. (b) Write the formula and calculate break-even sales and break-even volume.
Question 4: The Ideal store has been producing 4640 chairs a day working two shifts. The second shift has produced 120 chairs fewer than four-thirds of the number of chairs produced by the first shift. If no. of chairs in the first shift is x and no. of chairs in the second shift is y, (a) What would be the system of equations? (b) What would be the no. of chairs in each shift?
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