A group of venture investors is considering putting money into Lemma Books, which wants to produce a new reader for electronic books. The variable cost per unit is estimated at $250, the sales price would be set at twice the VC/unit, or $500, and fixed costs are estimated at $350,000. The investors will put up the funds if the project is likely to have an operating income of $500,000 or more. What sales volume would be required in order to meet the minimum profit goal? (Hint: Use the break-even formula, but include the required profit in the numerator.)
A. 3,706
B. 3,400
C. 2,958
D. 3,094
E. 4,216
Answer: B
You might also like to view...
The three branches of government do not include:
A) Legislative. B) Electoral. C) Judicial. D) All of the above.
Which of the following is correct concerning reactions to INCREASES in activity? Total Variable CostVariable Cost Per UnitA)IncreaseDecreaseB)ConstantDecreaseC)DecreaseConstantD)IncreaseConstant
A. Choice A B. Choice B C. Choice C D. Choice D
?____ includesetting objectives in concrete, adjusting the size of the sales force to meet changes in the firms' marketing plan and the marketing environment, attracting and hiring effective salespersons, developing a training program, formulating a fair and adequate compensation plan, motivating salespersons to keep productivity high, defining sales territories and determining scheduling and routing of the sales force, and evaluating the operation holistically.
A. ?Major management tasks B. ?Top management tasks C. ?Line supervisors' tasks D. ?Floor supervisors' tasks
________ is the process of introducing a new employee to his job and the organization.
A. Orientation B. Selection C. Staffing D. Communicating