How will url services be affected, Basic Computer Science

Assignment Help:

URL services has two divisions. Basic webpages and custom webpages. Ricky Vega, Custom's manager wants to find out why Custom is not profitable. He has prepared the following reports.

URL Services
Segmented Income Statement
For the year ended December 31

[Basic Webpages] [Custom Webpages] [Total Company]
(BasicWeb 1000 units) (Cust.Web 200 units)
Basic Revenue [BW$200,000] : [CW$150,000] : [TC$350,000]
Less Variable Costs
Direct professional labor: design BW$32,000:CW$80,000:TC$112,000
Direct professional labor: install BW30,000:CW4,000 :TC34,000
Direct professional labor: maintain 15,000: 36,000 :51,000
Total Variable Costs $77,000: $120,000: $197,000
Contribution margin $123,000: $30,000: $153,000
Less direct fixed cost
Depreciation on computer equipment $6,000: $12,000: $18,000
Depreciation on servers 10,000: 20,000: 30,000
Total direct fixed costs $16,000: $32,000: $48,000
Segment margin $107,000: $(2,000): $105,000
Less common fixed costs:
Building rent TC$24,000
Supplies TC1,000
Insurance TC3,000
Telephone TC1,500
Website rentalTC 500
Total common fixed costs TC$30,000
Operating income TC$75,000

URL Services
Custom Webpages Division
Incremental Analysis
Design Install Maintain Total
Service revenue $60,000 $25,000 $65,000 $150,000
LEss cariable costs 80,000 4,000 36,000 120,000
Contribution Margin $(20,000) $21,000 $29,000 $30,000
Less direct fixed costs 6,000 13,000 13,000 32,000
Segment margin $(26,000) $8,000 $16,000 $(2,000)

1. How will URL Services be affected if the Custom Webpages Division is eliminated?
2. How will URL Services be affected if the Design segment of Custom Webpages is eliminated?
3.What should Ricky Vega do? What additional info rmation would be helpful to him in making the decision?

 


Related Discussions:- How will url services be affected

Keystroke logger and data-stealing, Keystroke logger and Data-stealing: ...

Keystroke logger and Data-stealing: Keystroke loggers: This is a program, once installed on the system, which intercepts the keys when entering the password or the Credit Ca

Memory unit of computer, Memory unit of computer: The Memory  unit is ...

Memory unit of computer: The Memory  unit is an important component of a computer where all the data and information are stored in the form  of binary digits (combination of 0

Spidering or web crawling, Spidering or Web crawling: Spider or Web c...

Spidering or Web crawling: Spider or Web crawler is a computer program that browses the web pages of WWW in a systematic, automated manner. Search Engines use spider for gett

Turn-around, The term ‘page traffic’ describes

The term ‘page traffic’ describes

Cryptography, Assume |s1|=|s2|=n and consider the functions defined, for an...

Assume |s1|=|s2|=n and consider the functions defined, for any s1 and s2, as: (a) G1(s1,s2)=s1 xor s2, (b) G2(s1,s2)=(s1, s2, s1 xor s2). We have that: A. G1 and G2 are pseudo-ra

Analyze the complexity of dijkstra''s algorithm, QUESTION (a) Given the...

QUESTION (a) Given the graph as shown in figure, apply Lagrangian technique to complete the table assuming μ=1 and T=14                        Path P

Operation research, origin,nature and impact of operation research

origin,nature and impact of operation research

Explain the types of memory and explain how each work, Problem: a) ...

Problem: a) Explain the basic functions of a computer: inputting, processing, storing and outputting. b) List four types of memory and explain how each wor

Multiprogramming, Multiprogramming Multiprogramming means capability of...

Multiprogramming Multiprogramming means capability of several programs to simultaneously occupy a portion of the computer’s memory and compete for central processor time. Th

Python Identifiers, A Python identifier is a name used for classify a funct...

A Python identifier is a name used for classify a function, variable, class, module or any other object. An identifier begins with a letter A to Z or a to z or an underscore (_) fo

Write Your Message!

Captcha
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