MBA Company sells a single product for 2500 HUF/unit. You know the following information: The total cost function is: K(x) = 240 000 000 + 1 300 * x. The owner's equity counts for 300 million HUF. The debt (average) is 100 million HUF. The calculated rate of capital yield requirement is 17.5 percent. The interest of the debt is 10 percent. Amortisation takes 120 million HUF. Management believes, that the real opportunity for the company is selling of 150 000 units. Choose the missing answers! As the turning point of profitability is units, the company will realize a ◆ HUF in case of selling 150 000 units. In case of that volume the selling price should be HUF per unit in order to company's operation be profitable. ◆ KY ◆ of

MBA Company sells a single product for 2500 HUF/unit. You know the following information: The total cost function is: K(x) = 240 000 000 + 1 300 * x. The owner's equity counts for 300 million HUF. The debt (average) is 100 million HUF. The calculated rate of capital yield requirement is 17.5 percent. The interest of the debt is 10 percent. Amortisation takes 120 million HUF. Management believes, that the real opportunity for the company is selling of 150 000 units. Choose the missing answers! As the turning point of profitability is units, the company will realize a ◆ HUF in case of selling 150 000 units. In case of that volume the selling price should be HUF per unit in order to company's operation be profitable. ◆ KY ◆ of

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter8: Cost Analysis

Section: Chapter Questions

Problem 3E

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