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Author Question: Flash City Inc. manufactures small flash drives and is considering raising the price by 75 cents a ... (Read 239 times)

sammy

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Question 1

Feedback regarding previous actions may affect ________.
◦ future predictions
◦ implementation of the decision
◦ the decision model
◦ All of these answers are correct.

Question 2

Flash City Inc. manufactures small flash drives and is considering raising the price by 75 cents a unit for the coming year. With a 75-cent price increase, demand is expected to fall by 7,000 units.

CurrentProjected
Demand79,000 units72,000 units
Selling price$8.50$9.25
Incremental cost per unit$5.80$5.80

If the price increase is implemented, operating profit is projected to ________.
◦ increase by $35,100
◦ decrease by $5,250
◦ increase by $5,250
◦ decrease by $7,000


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Marked as best answer by sammy on Mar 6, 2021

hramirez205

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sammy

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Reply 2 on: Mar 6, 2021
YES! Correct, THANKS for helping me on my review


nyrave

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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