The cost of producing a small transistor radio set consists of P23.00 for laborand P37.00 for materials. The fixed charges in operating the plant is P100,000per month. The variable cost per piece is P1.00. The radio set can be sold forP75.00 each. Determine how many sets must be produced per month to breakeven. (

The firms, and businesses tend to operate in the markets where they supply various goods, and…

Answered: The cost of producing a small…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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A company produces a certain commodity. The labor and material cost for each item produced is P65. Other variable cost is P28 per unit. The fixed monthly cost is P440,000. If each item is to be sold at P170 determine the number of units that must be produced per month in order to break-even
A company manufactures dog leashes that sell for $20.97, including shipping and handling. The monthly fixed costs (advertising, rent, etc.) are $23,202 and the variable costs (materials, shipping, etc.) are $9.21 per leash. How many leashes must be produced and sold each month for the company to break even?
A manufacturer buys certain equipment form suppliers at $30 per unit. Total requirement is 200 units/ quarter. Ineventory carrying cost is 10% /year. Cost of placing an order is $100. Rent, insurance, storing per unit per year $3. SOLVE for the following: EOQ=? N=? T=? (in months) Total cost If 1300 is the current order quantity, how much would they save by switching to the EOQ?
plz solve both parts within 30-40 mins I'll give you multiple upvote
A small shop in Bulacan fabricates threshers for palay producers in the locality. The shop can produce each thresher at a labor cost of P1800. The cost of materials for each unit is P2500. The variable costs amounts to P650/unit, while fixed charges incurred/annum totals P69000. If the portable threshers are sold at P7800/unit, how many units must be produced and sold per annum to break even? Select the correct response: 25 24 23 26
An executive receives an annual salary of P400,000 and his secretary a salary P100,000 a year. A certain task can be performed by the executive, working alone, in 4 hours. If he delegates the task to his secretary t will require him 30 minutes to explain the work and another 45 minutes to check the finished work. Due to the unfamiliarity of the secretary to do the Task it takes her an additional time of 6 hours after being instructed. Considering salary cost only, determine the cost of performing the task by each method, if the secretary works 2,400 hours a year and the executive 3,000 hours a year.
A furniture manufacturer has an annual overhead cost of P120,000 plus 20% of the sales in pesos. Labor costs P20 per set and the materials cost P10. He has a maximum capacity of 1000 sets per month but expects to produce only 8000 sets per year. If he could sell all what he expects to produce, how much is the selling price of each set just to break even? Show solutions.
Product X currently sells for $12 per unit. The variable costs is $4 per unit and 10,000 units are sold annually with a profit of $30,000 per year. A new design will increase the variable cost by 21% and fixed cost by 11% but sales will increase to 12777 units per year. At what selling price do the break even occurs for the new design?
9. A machine part can be exhausted either from aluminum or steel. There is an order of 8,000 units.Steel costs 3.80Php/kg, while aluminum cost 8.70Php/kg. If steel is used, the steel per unit weighs110g and 30g for aluminum. In production, steel is 50 units/hr and 80units/hr with an aid of a toolcosting 640Php, which will be useless after the 8,000 units are finished. The cost of the machineoperator is 10.80Php/hr. if all other costs are identical, which material is more economical?
A corn refining company produces corn gluten cattle feed at a variable cost of $83 per ton. If fixed costs are $120,000 per month and the feed sells for $134 per ton, how many tons should be sold each month to have a monthly profit of $570,000? The company must sell tons. (Round to the nearest whole number as needed.)
Product A currently sells for $12 per unit. The variable cost is $4 per unit and 10,000 units are sold annually and a profit of $30,000 is realized yearly. A new design of this product will increase the variable cost by 20% and fixed cost by 10% but sales will increase to 12,000 units per year. At what selling price do the break even occurs for the new design?
!show FUll solution! An electronic store that sales transistors pay their lot space P 200k annually. If the transistor can be sold for 8 pesos per unit while manufacturing cost 1.25 pesos per unit. Determine the number of units that must be sold per month to break even.

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