Samsung manufacturers USB charging cables for mobile devices. It sells these cables to distributors for $2.6000000000 each, while their variable costs are 724 per cable, and they have a fixed cost of $43000 to manufacture the cables. 1. What is the Contribution margin (in dollars)? 2. What is the profit function (without units using x as the number of cables sold)? 3. What is their projected profit or loss next month (in dollars), for which Samsung forecasts sales of 23241 cables? 4. What is the break even volume (without units)? For parts 1, 2, and 3, answer to the nearest cent. For part 4, answer to one decimal place (don't round up to the nearest whole unit).
Samsung manufacturers USB charging cables for mobile devices. It sells these cables to distributors for $2.6000000000 each, while their variable costs are 724 per cable, and they have a fixed cost of $43000 to manufacture the cables. 1. What is the Contribution margin (in dollars)? 2. What is the profit function (without units using x as the number of cables sold)? 3. What is their projected profit or loss next month (in dollars), for which Samsung forecasts sales of 23241 cables? 4. What is the break even volume (without units)? For parts 1, 2, and 3, answer to the nearest cent. For part 4, answer to one decimal place (don't round up to the nearest whole unit).
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
![Samsung manufacturers USB charging cables for mobile devices. It sells these cables to distributors for $2.6000000000 each,
while their variable costs are 72e per cable, and they have a fixed cost of $43000 to manufacture the cables.
1. What is the Contribution margin (in dollars)?
2. What is the profit function (without units using x as the number of cables sold)?
3. What is their projected profit or loss next month (in dollars), for which Samsung forecasts sales of 23241 cables?
4. What is the break even volume (without units)?
For parts 1, 2, and 3, answer to the nearest cent. For part 4, answer to one decimal place (don't round up to the nearest whole unit).
Answer:
1. Contribution margin =
2. Profit function: Profit=
3. Profit or loss =
4. Break even volume =](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fae4b0d98-45d8-473d-ad4c-873f648738cd%2Fc68a890d-421f-4f91-afde-08c46e420766%2F0zevhna_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Samsung manufacturers USB charging cables for mobile devices. It sells these cables to distributors for $2.6000000000 each,
while their variable costs are 72e per cable, and they have a fixed cost of $43000 to manufacture the cables.
1. What is the Contribution margin (in dollars)?
2. What is the profit function (without units using x as the number of cables sold)?
3. What is their projected profit or loss next month (in dollars), for which Samsung forecasts sales of 23241 cables?
4. What is the break even volume (without units)?
For parts 1, 2, and 3, answer to the nearest cent. For part 4, answer to one decimal place (don't round up to the nearest whole unit).
Answer:
1. Contribution margin =
2. Profit function: Profit=
3. Profit or loss =
4. Break even volume =
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