« previous next »

Author Question: Wheely Bike Manufacturers expects to produce and sell 9,000 made-to-order bicycles this year. ... (Read 101 times)

Zoey63294

  • Hero Member
  • *****
  • Posts: 539
on: Jul 10, 2018
Wheely Bike Manufacturers expects to produce and sell 9,000 made-to-order bicycles this year. Variable costs
  are 40 percent of sales while fixed costs total 600,000. At what price must each bicycle be sold for Wheely to
  earn EBIT of 450,000?
 
  What will be an ideal response?

Question 2

Bond prices are inversely related to market interest rates.
 
  Indicate whether the statement is true or false
Foundations of Finance ¦ Keown, Petty, Martin ¦ 9th Edition
Buy Test-Bank


k.lashomb

  • Sr. Member
  • ****
  • Posts: 346
Reply #1 on: Jul 10, 2018
Answer to Question 1

9,000P - (.40)(9,000)P - 600,000 = 450,000
9,000P - 3,600P - 600,000 = 450,000
5,400P = 1,050,000
P = 194.44

Answer to Question 2

TRUE


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Barbituric acid, the base material of barbiturates, was first synthesized in 1863 by Adolph von Bayer. His company later went on to synthesize aspirin for the first time, and Bayer aspirin is still a popular brand today.

Did you know?

Sildenafil (Viagra®) has two actions that may be of consequence in patients with heart disease. It can lower the blood pressure, and it can interact with nitrates. It should never be used in patients who are taking nitrates.

Did you know?

The most common childhood diseases include croup, chickenpox, ear infections, flu, pneumonia, ringworm, respiratory syncytial virus, scabies, head lice, and asthma.

Did you know?

After a vasectomy, it takes about 12 ejaculations to clear out sperm that were already beyond the blocked area.

Did you know?

In 2006, a generic antinausea drug named ondansetron was approved. It is used to stop nausea and vomiting associated with surgery, chemotherapy, and radiation therapy.

The discovery of aquaporins, water channels made of a transmembrane protein. The discovery of aquaporins, water channels made of a transmembrane protein.
Plant apical meristems and the primary tissues they produce. Plant apical meristems and the primary tissues they produce.
Chinese workers on a railway in the far West. “Without them,” Leland Stanford, president of the Cent Chinese workers on a railway in the far West. “Without them,” Leland Stanford, president of the Cent
An AC voltage is produced by a magnetic sensor. Most sensors should produce at least 0.1 volt AC ... An AC voltage is produced by a magnetic sensor. Most sensors should produce at least 0.1 volt AC ...
Farmers’ markets provide fresh, local produce to consumers Farmers’ markets provide fresh, local produce to consumers
Kindergarten school year book Kindergarten school year book
Video: Causes of Acne

For a complete list of videos, visit our video library