A firm plans to use three different types of ads to attract potential customers to its product. The three ad choices are TV ads, Magazine ads, and Sunday Supplement. The following table shows the number of potential customers one ad can reach: TV Ads (TV) - Number of Potential Customers Attracted per Ad 1,500 Magazine Ads (M) - Number of Potential Customers Attracted per Ad 500 Sunday Supplement - (SS)Number of Potential Customers Attracted per Ad 500 There are two categories of spending per ad as below ($, Thousands): Cost Per Ad ($Thousands) TV Ads (TV) Magazine Ads (M) Sunday Supplement (SS) Ad Budget 250 100 100 Planning Budget 100 50 50 There are following constraints: Total Ad Budget <= 3,500 Total Planning Budget <= 1,500 Total number of TV ads <= 5 The question is to find the optimal numbers of TV ads, Magazine ads, and Sunday Supplement, so that the total number of the potential customers attracted by these ads can be MAXIMIXZED.

S HomeLife Life Insurance Company has two service departments (actuarial and premium rating) and two production departments fadvertising and sales). The distribution of each service department's efforts (in percentages) to the other departments is shown in the following table: From Actuarial Premium Actuarial Premium rating Advertising Sales Actuarial 25% The direct operating costs of the departments (including both variable and fixed costs) are: Premium Rating Advertising 80% 10% 15 Required 1 Required 2 To $ 82,000 17,000 62,000 42,000 Advertising department Sales department Required: 1. Determine the total costs of the advertising and sales departments after using the direct method of allocation. 2. Determine the total costs of the advertising and sales departments after using the step method of allocation 3. Determine the total costs of the advertising and sales departments after using the reciprocal method of allocation. Complete this question by entering your answers in the tabs…

Air Americo is about to introduce a daily round-trip flight from New York to Los Angeles and is determining how to price its round-trip tickets. The market research group at Air Americo segments the market into business and pleasure travelers. It provides the following information on the effects of two different prices on the number of seats expected to be sold and the variable cost per ticket, including the commission paid to travel agents: Price Charged Variable Costs per Ticket # of Seats Expected to be Sold Business Pleasure 800 2,100 75 300 150 185 285 30 Pleasure travelers start their travel during one week, spend at least I weekend at their destination, and return the following week or thereafter. Business travelers usually start and complete their travel within the same workweek. They do not stay over weekends. Assume that round-trip fuel costs are fixed costs of $24,500 and that fixed costs allocated to the round-trip flight for airplane-lease costs, ground services, and…

Fill in the missing amounts in each of the eight case situations below. Each case is independent of the others. Required: a. Assume that only one product is being sold in each of the four following case situations: b. Assume that more than one product is being sold in each of the four following case situations: Complete this question by entering your answers in the tabs below. Required A Required B Assume that only one product is being sold in each of the four following case situations: (Loss amounts should be indicated by a minus sign.) Case #1 Case #2 Case #3 Case #4 Unit sold 8,000 20,100 5,600 Sales 2$ 256,000 $ 316,800 $ 196,000 Variable expenses 120,000 180,900 Fixed expenses 90,000 98,000 173,000 Net operating income (loss) (1,400) S 135,100 $ 5,200 Contribution margin per unit 13 $ 11 Required B >