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Author Question: Citizen sells a watch for $35 at a variable cost of $15 per unit and fixed cost of $1 million per ... (Read 3670 times)

eruditmonkey@yahoo.com

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Question 1

Citizen sells a watch for $35 at a fixed cost of $1 million per annum. Recent recession has seen jump in material cost to $20. What is the new break-even volume of watches per year?
◦ 50 000
◦ 7000
◦ 66 667
◦ 6667
◦ 28 571

Question 2

Citizen sells a watch for $35 at a variable cost of $15 per unit and fixed cost of $1 million per annum. Recent recession has seen jump in material cost by $7. What is the change in profit due to recession if Citizen produces and sells 100 000 watches in a year?
◦ $800 000 increase
◦ $700 000 decrease
◦ $300 000 decrease
◦ $1 800 000 increase
◦ $1 000 000 decrease


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Marked as best answer by eruditmonkey@yahoo.com on Jun 7, 2019

frogdreck123456

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Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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