Classic Loungers is in the process of preparing a production cost budget for August. Actual costs in July for 400 chaise lounge chairs were: Materials cost                                           $  6,000 Labor cost                                                    8,000 Rent                                                             2,000 Depreciation                                                 4,000 Other fixed costs                                          5,000 Total                                                         $ 25,000             Material cost and Labor cost are considered variable. Each chair was sold for $160 in July. Management estimates that sales will increase to 440 chairs during August if the company lowers the selling price to $150 per chair.  What is the incremental profit (loss) associated with the price reduction?

Need Help with this Question

Painter's Hardware purchased 8,200 gallons of paint in March. The store had 3,100 gallons on hand at the beginning of March, and expects to have 2,600 gallons on hand at the end of March. What is the budgeted number of gallons to be sold during March? Round your final answer to the nearest unit. Do not include $ sign or commas in your final answer.

Bramble Corporation is a small wholesaler of gourmet food products. Data regarding the store's operations follow:   Sales are budgeted at $460,000 for November, $440,000 for December, and $430,000 for January. Collections are expected to be 45% in the month of sale and 55% in the month following the sale. The cost of goods sold is 80% of sales. The company would like to maintain ending merchandise inventories equal to 60% of the next month's cost of goods sold. Payment for merchandise is made in the month following the purchase. Other monthly expenses to be paid in cash are $25,200. Monthly depreciation is $16,200. Ignore taxes.   Balance SheetOctober 31 Assets     Cash $ 20,000 Accounts receivable   70,000 Merchandise inventory   153,000 Property, plant and equipment, net of $572,000 accumulated depreciation   1,094,000 Total assets $ 1,337,000       Liabilities and Stockholders' Equity     Accounts payable $ 254,000 Common stock   820,000 Retained earnings…