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Pachacha [2.7K]
2 years ago
6

Charter Corporation manufactures a single product that has a cost of $350. The company uses a 70% markup on cost to arrive at a

selling price of $595, which results in a price that virtually always exceeds that of the market leaders. If Charter changes to the approach known as target costing, the company will first: undertake a thorough study of competitors' prices. change the markup so that it is based on sales rather than based on cost. attempt to re-engineer its product. trim its $350 cost. reduce its 70% markup rate.
Business
1 answer:
Mkey [24]2 years ago
8 0

Answer:

trim its $350 cost.

Explanation:

Target costing starts in the final selling of a good and then the company deducts its desired markup. The result is the target cost of the product. The company then tries to cut production costs in order to reach that target cost.

E.g. the market price is $500

target cost = $500 / 1.7 = $294.12

the company will try to manufacture its product spending just $294.12 per unit

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You created a financial model for a pitchbook being presented tomorrow to a potential new client. While reviewing the final vers
sashaice [31]

Explanation:

A pitchbook is confidential document. It is basically a sales document, used by the sales force, which contains main features or attributes of the firm, the potential of the firm and the future aspects of the firm in detail.

So keeping the given question in mind, I would write to my supervisor as follows:

Subject: Assistance Required

Body:

Dear Sir,

By reviewing the whole document finally, which is to be presented to the client tomorrow, I found some mistakes in the results. I came to know that the results are incorrect and are surely needed to be corrected before the presentation.

I recommend you to delay the meeting for 3 hours by the scheduled time, as i need to check and correct the whole figures again and this would take time.

I am looking forwards for your advice.

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6 0
2 years ago
Tyell Corp. is a financial consulting firm. The firm has a varied client base. It also hires employees from various ethnicities
lara [203]

Answer:

In the given scenario, Tyell Corp. uses

b. readiness-based diversity training

Explanation:

Diversity Training:

A type of training in which the audience are trained to accept and understand the diversity of traits and cultural backgrounds of people.

  • In this scenario, Tyell Corp. teaches its diversified employees to ask questions stereotypes and change their personal opinion about each other. As this training is encouraging to understand the diversification so the option a and c are not valid.
  • The options b is valid as the consulting firm is motivating its employee to ask the questions and understand other people that is preparing the employee to accept the differences. So, they can work in harmony for the progress of the firm
  • The option d is not valid in this scenario, as this training is focusing on readiness of the employees to accept the cultural differences but not no skills.
8 0
2 years ago
Imagine you have just bought some property and notice that the trees on the slope have curved trunks. what type of landslide eve
tigry1 [53]

The type of landslide event that the property most likely has is CREEP. Creep is the slowest type of mass wasting that requires years of gradual movement to have an effect on a slope. Slopes creep because of the expansion and contraction of a surface sediment as well as the pull of gravity. 

7 0
2 years ago
On June 30, 2010, Microsoft Corporation was holding $4.8 billion of cash that it had collected from customers in advance for fut
iVinArrow [24]

Answer: O the liability Unearned Revenue on its balance sheet.

Explanation:

Unearned Revenue is a liability that goes into the balance sheet to record the cash received for goods and/or services that the company have not delivered yet.

This is so that the company is not in violation of the Accrual Accounting concept known as the Revenue Recognition Principle that states that revenue should be recognised only in the period that they have been earned.

Microsoft in this scenario will record this cash as an Unearned Revenue and then consider it revenue when it has delivered the said goods and services.

7 0
2 years ago
Exercise C The marketing department of Specialty Coffees estimates the following monthly demand for espresso in these four price
SIZIF [17.4K]

Answer:

It should price the espresso at $1.25

Explanation:

\left[\begin{array}{ccccc}&D1&D2&D3&D4\\$Sales Price&1&1.25&1.5&1.75\\$Variable Cost&0.25&0.25&0.25&0.25\\$Margin&0.75&1&1.25&1.5\\$Quantity&9,000&8,000&6,000&4,000\\$Contribution&6,750&8,000&7500&6,000\\$Fixed Cost&3,000&3,000&3,000&3,000\\$Income&3,750&5,000&4,500&3,000\\\end{array}\right]

The best Income is generated at the price of 1.25 dollar

Therefore, this is the amount to Specialty Coffees set for espresso.

6 0
2 years ago
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