Maurice Tutor

(5)

$15/per page/Negotiable

About Maurice Tutor

Levels Tought:
Elementary,Middle School,High School,College,University,PHD

Expertise:
Algebra,Applied Sciences See all
Algebra,Applied Sciences,Biology,Calculus,Chemistry,Economics,English,Essay writing,Geography,Geology,Health & Medical,Physics,Science Hide all
Teaching Since: May 2017
Last Sign in: 409 Weeks Ago
Questions Answered: 66690
Tutorials Posted: 66688

Education

  • MCS,PHD
    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

Experience

  • Professor
    Phoniex University
    Oct-2001 - Nov-2016

Category > Management Posted 25 Oct 2017 My Price 6.00

Brown Enterprises

Brown Enterprises has two product lines: bags and shoes. Cost and revenue data for each product line for the current month are as follows:

 

Product Lines

 

 

Bags

Shoes

Sales  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

$1,000,000

$500,000

Variable costs as a percentage of sales . . . . . . . . . . . . . . . . . . . . . .

60%

30%

Fixed costs traceable to product lines  . . . . . . . . . . . . . . . . . . . . . . .

$   250,000

$275,000

 

In addition to the costs shown above, the company incurs monthly fixed costs of $75,000 common to both product lines.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Instructions

a.      Prepare Brown Enterprises’s responsibility income statement for the current month. Report the responsibility margin for each product line and income from operations for the company as a whole. Also include columns showing all dollar amounts as percentages of sales.

b.      Assume that a marketing survey shows that a $50,000 monthly advertising campaign focused on either product line should increase that product line’s monthly sales by approximately

$100,000. Do you recommend this additional advertising for either or both product lines? Show computations to support your conclusions.

c.       Management is considering expanding one of the company’s two product lines. An invest- ment of a given dollar amount is expected to increase the sales of the expanded product line by $250,000. It is also expected to increase the traceable fixed costs of the expanded product line by 60 percent. On the basis of this information, which product line do you recommend expanding? Explain the basis for your conclusion.

Answers

Maurice Tutor
(5)
Status NEW Posted 25 Oct 2017 02:10 PM My Price 6.00

Hel-----------lo -----------Sir-----------/Ma-----------dam-----------Tha-----------nk -----------You----------- fo-----------r u-----------sin-----------g o-----------ur -----------web-----------sit-----------e a-----------nd -----------and----------- ac-----------qui-----------sit-----------ion----------- of----------- my----------- po-----------ste-----------d s-----------olu-----------tio-----------n.P-----------lea-----------se -----------pin-----------g m-----------e o-----------n c-----------hat----------- I -----------am -----------onl-----------ine----------- or----------- in-----------box----------- me----------- a -----------mes-----------sag-----------e I----------- wi-----------ll

Not Rated(0)