User Account

All Pages

Compute the target cost of this product

Assignment Help Accounting Basics
Reference no: EM133139340

Question - Majesty Company uses target costing to ensure that its products are profitable. Assume Majesty is planning to introduce a new product with the following estimates:

Estimated market price $2,900

Annual demand 84,000 units

Life cycle 7 years

Target profit 28 % return on sales

Required -

1. Compute the target cost of this product.

2. Compute the target cost if Majesty wants a 36 percent return on sales.

3. Compute the target cost if Majesty wants a 7 percent return on sales.

Reference no: EM133139340

Questions Cloud

Public human resource management : Human Resource Management and Public Human Resource Management is this different from Public Human Resource Management and traditional forms of Human Resource M
Key criticisms of competency-based pay systems : 1. Discuss why it is not always desirable, or even possible, to use output-based pay.
Trustworthy relationship between employees and company : We live and work in the world of hyper-communication, fast moving work environments, strict deadlines, etc., where people feel overloaded and stressed.
Advertise jobs to get a wide pool of candidates : All the specifics can be clarified in the job descriptions, but they need help with how to implement this.
Compute the target cost of this product : Majesty Company uses target costing to ensure that its products are profitable. Compute the target cost of this product
What happens during concept design stages : What is the term used for the processes required to ensure that the project include all the work required, and only the work required
Determine whether a product or service needs : Explain how to determine whether a product or service needs to be customized for the identified market.
Understand databases and sql language : Share an example with the class. As a business professional, why do you think it is important to understand databases and SQL language?
Calculate the projected inventory error : You are completing your audit of ABC Ltd, an importer of Computer from China. Total sales this year were $77,500,000. Calculate the projected inventory error

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd