HW 19 - 41472 515625.32 246758.4 264000 11.19 49766.4...

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Jack Meehan 11/15/2007 Accounting 152 P13-18, 25   PA-6 Section 11 P13-18 Per Quarter Current Closed Change Salary 33000 18000 15000 Lease 65000 0 65000 Revenue 600000 0 -600000 COGS 372000 0 372000 Fixtures 0 0 0 Taxes 0 0 0 Crew 7000 0 7000 Insurance 6000 0 6000 EMPLOYEE 8000 0 8000 Change in INCOME 127000 CLOSE DOWn the downtown store!!!! It would be better, I would definitely recommend that the downtown store be closed since they will be P13-25 The incrememntal CM is .45 dollars since tat is the dinfference between selling the candy form of ho and  the raw form of honey for $3 .45x-4280 = 0 x = 9511.11 That is the break even point at which selling the candy makes a boatload of more sense PA-6 1 Sellin price unit sales sales Var fixed 18.95 20000 379000 119000 264000 17.06 24000 409320 142800 264000 15.35 28800 442065.6 171360 264000 13.81 34560 477430.85 205632 264000 12.43
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Unformatted text preview: 41472 515625.32 246758.4 264000 11.19 49766.4 556875.34 296110.08 264000 10.07 59719.68 601425.37 355332.1 264000 9.06 71663.62 649539.4 426398.52 264000 8.16 85996.34 701502.55 511678.22 264000 7.34 103195.61 757622.75 614013.86 264000 The profit maiximizing price is 13.65 If 18.95 were charged, they wouldn’t be as profitable since they wouldn’t sell nearly enough units They are then retarded because this is the max amount of money that they will be earning. 6 8 10 12 14 16 18 20-140000-120000-100000-80000-60000-40000-20000 20000 operating income operating income e making even more money at the uptown [email protected] oney operating income-4000 2520 6705.6 7798.85 4866.92-3234.74-17906.73-40859.12-74175.67-120391.11 g...
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