1 14.28 Skipped Paste Font Alignment Number Format as Cell Styles New Exercise Bank Content Qu. 01-08 Reconsider the example of choosing the advertising budget for the VRX2000 that is presented in Section 1.4. There it was determined that the optimal level of advertising spending was $135,392 leading to a profit of $77,425. Now suppose that the selling price, variable cost and/or fixed cost can fluctuate as stated below. Open recovered workbooks? Your recent changes were saved. De D22 x ✓ fx B C 1 VRX2000 Optimization Model D E F 이이이 Click here for the Excel Data File a. Re-solve the optimization model for the VRX2000 using a variable cost of $320, a selling price of $400, and fixed costs of $100,000. What are the optimal advertising budget and the resulting total profit? 2 Print b. Re-solve the optimization model for the VRX2000 using a variable cost of $280, a selling price of $400, and fixed costs of $100,000. What are the optimal advertising budget and the resulting total profit? 3 Parameters: 4 Unit Variable Cost $320 5 Unit Revenue Complete this question by entering your answers in the tabs below. 6 Fixed Cost $400 $100,000 7 Required A Required B 8 Decision Variable: Advertising Budget Note: Do not round intermediate calculations. Round your answers to the nearest whole number Advertising budget Total profit Re-solve the optimization model for the VRX2000 using a variable cost of $320, a selling price of $400, and fixed costs of $100,000. What are the optimal advertising budget and the resulting total profit? 10 11 Prediction Formula: Sales ax + b 12 a 7.01 13 b 400 14 Reqar A Required B > 15 Expected Units Sold 16 17 Total Revenue 18 Total Variable Cost 19 Fixed Cost $100,000 20 Advertising Cost 21 22 Total Profit 23 24 25 26 27 28 29 30
1 14.28 Skipped Paste Font Alignment Number Format as Cell Styles New Exercise Bank Content Qu. 01-08 Reconsider the example of choosing the advertising budget for the VRX2000 that is presented in Section 1.4. There it was determined that the optimal level of advertising spending was $135,392 leading to a profit of $77,425. Now suppose that the selling price, variable cost and/or fixed cost can fluctuate as stated below. Open recovered workbooks? Your recent changes were saved. De D22 x ✓ fx B C 1 VRX2000 Optimization Model D E F 이이이 Click here for the Excel Data File a. Re-solve the optimization model for the VRX2000 using a variable cost of $320, a selling price of $400, and fixed costs of $100,000. What are the optimal advertising budget and the resulting total profit? 2 Print b. Re-solve the optimization model for the VRX2000 using a variable cost of $280, a selling price of $400, and fixed costs of $100,000. What are the optimal advertising budget and the resulting total profit? 3 Parameters: 4 Unit Variable Cost $320 5 Unit Revenue Complete this question by entering your answers in the tabs below. 6 Fixed Cost $400 $100,000 7 Required A Required B 8 Decision Variable: Advertising Budget Note: Do not round intermediate calculations. Round your answers to the nearest whole number Advertising budget Total profit Re-solve the optimization model for the VRX2000 using a variable cost of $320, a selling price of $400, and fixed costs of $100,000. What are the optimal advertising budget and the resulting total profit? 10 11 Prediction Formula: Sales ax + b 12 a 7.01 13 b 400 14 Reqar A Required B > 15 Expected Units Sold 16 17 Total Revenue 18 Total Variable Cost 19 Fixed Cost $100,000 20 Advertising Cost 21 22 Total Profit 23 24 25 26 27 28 29 30
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter3: Cost Behavior
Section: Chapter Questions
Problem 5CE: Refer to Cornerstone Exercise 3.4 for data on Dohini Manufacturing Companys purchasing cost and...
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