Reference no: EM132990948
You are a distributor of automotive wiper blades. At present you sell an average of 40,000 pairs of blades per year at an average price of $12.50. The cost to purchase these blades from the manufacturer is $7.50 per pair. You have annual fixed costs of $75,000 for rent, insurance, etc.
Problem A) Create a high-quality spreadsheet model that calculates the annual costs, revenue, and profit.
You are considering offering your customers a rebate of $2.50 per pair, and you believe that this rebate will increase sales volume by 15%. You also think that only about 50% of customers will actually take advantage of the rebate offer (the rest will just forget to request the rebate).
Problem B) Create an industrial-quality spreadsheet model that calculates the annual costs, revenue, and profit, with the rebate.
Problem C) The performance measure is annual profit; create a delta cell (or "change from base"). What is the delta if 70% of customers actually take advantage of the rebate program?
Problem D) Would you recommend that the company institute the rebate program? Briefly justify your answer.
|
Discuss results obtained by comparing two sets of data
: Perform a controlled experiment and discuss results obtained by comparing two sets of data - To become familiar with the elements of a practical report
|
|
Industry attributes that facilitate tacit collusion
: While there are several industry attributes that facilitate tacit collusion, entry barriers are considered the most important. Why?
|
|
Problematic governance and negative corporate image
: Issues: problematic governance and negative corporate image (Minimum of one hundred fifty words each environment)
|
|
How would a power tool company be profitable
: How would a power tool company be profitable in the Germany market? Give three examples and why.
|
|
Create high-quality spreadsheet model that calculate annual
: You are a distributor of automotive wiper blades. Create a high-quality spreadsheet model that calculates the annual costs, revenue, and profit.
|
|
Relationship between conditioning and fear
: -Brief summary of the relationship between conditioning and fear, conditioning and conformity, and conditioning and obedience.
|
|
Differentiate human resource development
: Differentiate human resource development from human resource management, also distinguish administration from Management. Provide details.
|
|
What is the ending balance in the f mercury
: What is the ending balance in F. Mercury, Capital account after all closing entries are made? The F. Mercury, Capital account has a credit balance of $19,550.
|
|
Make entry to close any over- or underapplied overhead
: At year-end, the company's actual overhead costs for the year, Prepare the entry to close any over- or underapplied overhead to Cost of Goods Sold.
|