Question

Heather Hudson makes stuffed teddy bears. Recent information for her business follows: Selling price per bear...

Heather Hudson makes stuffed teddy bears. Recent information for her business follows:

Selling price per bear $ 28.50
Total fixed cost per month 1,380.00
Variable cost per bear 15.50


She sells 390 bears this month.

Suppose sales increase by 20 percent next month. Calculate the effect that increase will have on her profit. (Round your intermediate calculations to 2 decimal places. Round your final answer to 1 decimal place. (i.e. .123 should be entered as 12.3%))

Increased in Profit %

Homework Answers

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Heather Hudson makes stuffed teddy bears. Recent information for her business follows: Selling price per bear...
Heather Hudson makes stuffed teddy bears. Recent information for her business follows: Selling price per bear $ 33.50 Total fixed cost per month 1,470.00 Variable cost per bear 16.50 She sells 410 bears this month. Suppose sales increase by 30 percent next month. Calculate the effect that increase will have on her profit. (Round your intermediate calculations to 2 decimal places. Round your final answer to 1 decimal place. (i.e. .123 should be entered as 12.3%))
Heather Hudson makes stuffed teddy bears. Recent information for her business follows:     Selling price per bear...
Heather Hudson makes stuffed teddy bears. Recent information for her business follows:     Selling price per bear $ 29.00 Total fixed cost per month 2,295.00 Variable cost per bear 12.00 If she sells 288 bears next month, determine the margin of safety in units, sales dollars, and as a percentage of sale.(Round your intermediate calculations to the nearest whole number and round your "Percentage of Sales" answer to 2 decimal places. (i.e. .1234 should be entered as 12.34%.))
Cove’s Cakes is a local bakery. Price and cost information follows: Price per cake $ 14.31...
Cove’s Cakes is a local bakery. Price and cost information follows: Price per cake $ 14.31 Variable cost per cake Ingredients 2.18 Direct labor 1.03 Overhead (box, etc.) 0.27 Fixed cost per month $ 3,790.50 Required: 1. Calculate Cove’s new break-even point under each of the following independent scenarios: (Round your answer to the nearest whole number.) a. Sales price increases by $1.80 per cake. b. Fixed costs increase by $495 per month. c. Variable costs decrease by $0.44 per...
Dana’s Ribbon World makes award rosettes. Following is information about the company: Variable cost per rosette...
Dana’s Ribbon World makes award rosettes. Following is information about the company: Variable cost per rosette $ 1.20 Sales price per rosette 3.00 Total fixed costs per month 3600.00 Required: 1. Suppose Dana’s would like to generate a profit of $860. Determine how many rosettes it must sell to achieve this target profit. (Round your intermediate calculations to 2 decimal places and final answer to the nearest whole number.) 2. If Dana’s sells 2,450 rosettes, compute its margin of safety...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT