This preview shows pages 1–2. Sign up to view the full content.
This preview has intentionally blurred sections. Sign up to view the full version.
View Full Document
Unformatted text preview: CM for Hokies = $3.00 x 1 = $3.00 $33 + $3 = $36.00 CM per package X = $1,593,600 + $195,000(.65) $ 33 X = 52,600 packages = each package has 5 heels and 1 hokie = 263,000 heels, 52,600 hokies 1. Changing Parameters Less than or equal to 18,000 units = TFC of $250,000, VC = $45 per unit, CM = $15/unit Greater than 18,000 units and less than or equal 60,000 units = TFC of $350,000, VC = $52 per unit, CM = $8/unit Greater than 60,000 units = TFC of $578,000, VC = $56 per unit, CM = $4/unit Selling price = $60 per unit Want to earn a profit of $220,000  what level of units will do that? $250,000 + $220,000 = 31,333 units NWJ  no way Jose $15/unit $350,000 + $220,000  (18,000 units x $15 = $270,000) + 18,000 units = 55,500 units $8/unit Ex. 51 DM  Pure Variable DL  Pure Variable Utilities  Mixed Rent  Fixed Maintenance  Mixed Supervisor Salaries  Fixed Ex. 511 CM = Selling pricevariable cost...
View
Full
Document
This note was uploaded on 02/27/2012 for the course BUSI 101 taught by Professor Skender during the Spring '08 term at UNC.
 Spring '08
 SKENDER

Click to edit the document details