Determine the cost and profit of product, Business Management

Assignment Help:

You have decided to sell some goods at a local music festival. You have hired a sales stand for $500. Your cost per item is $3 and you will sell each item for $5. When you did your initial calculations, you expect to sell 300 items and have purchased 500 just to be sure. You can return any un-sold items to the supplier and get your $3 back.

(a) What benefits do you expect?

(b) What costs did you expect?

(c) Suppose that due to rain the prospects look bad and you now only expect to sell 200 items. At this point you have already paid the $500 for the stand, but you can decide not to sell if you want. Would you prefer to not sell now?

(d) What other costs might you have that have not been expressed here? Would they perhaps change your answer to (c)?


Related Discussions:- Determine the cost and profit of product

What are the causes of labour turnover, What are the causes of labour turno...

What are the causes of labour turnover? Causes of Labour Turnover: 1. Voluntary withdrawals through the worker 2. Lay-offs because of seasonal nature of industry, fuel

Describe michael porter''s five forces, (a) Outline the method of carrying ...

(a) Outline the method of carrying out a quantitative survey which is used in the market research. (b) Describe Michael Porter's five forces that is used to analyse the micro en

Business administration, b. A paper mill produces two grades of paper viz.,...

b. A paper mill produces two grades of paper viz., X and Y. Because of raw material restrictions, it cannot produce more than 400 tons of grade X paper and 300 tons of grade Y pape

Organizations corporate structure, Select an organization of your choice. T...

Select an organization of your choice. The organisation could be one where you work or one where a close family member, or friend, works. It is important that you have access to a

Describe the three communication channels, QUESTION (a) Your director h...

QUESTION (a) Your director has requested you to explain to newly recruited officers of the marketing department the importance of developing presentation skills and the differe

Characteristics of small island developing states, Question 1: a. Crit...

Question 1: a. Critically discuss the concept of ecotourism as a strategy for sustainable development. Use relevant examples where appropriate. b. Discuss the different e

Quality management system, Briefly introduce the subject and describe its k...

Briefly introduce the subject and describe its key business or operations. Appraise how it plans and manages quality. Analyse how quality can be used to support the strategies o

What are the advantages of the matrix organisation, What are the advantages...

What are the advantages of the matrix organisation? Advantages of matrix organization are as illustrated below: a. When effectively focuses resources onto a single project,

Prepare action plan to implement changes, Select a small business of your c...

Select a small business of your choice and explain how the particular business can be considered as a small business enterprise. List the advantages and disadvantages of being a sm

Write Your Message!

Captcha
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!

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