Fixed & Variable Cost Output......................
Fixed & Variable Cost Output?
Wine Output(.75-Liter Bottles)
10,000 Bottles ///// 15,000 Bottles //// 20,000 Bottles
Variable production costs…
$35,000 //////// 52,500 ////////// 70,000
Fixed production costs…...
100,000 //////// 100,000 ////////// 100,000
Variable selling and administrative costs...
2,000 ////////// 3,000////////// 4,000
Fixed selling and administrative costs.....
40,000 ///////// 40,000////////// 40,000
Total……
$177,000 //////// $195,000 ////////// $214,000
Wine Sales
10,000 Bottles ///// 15,000 Bottles ///// 20,000 Bottles
Sales price per .75-liter bottle…
$18.00 ///// 15.00 ///// $12.00
Can anyone help me Calculate the company's PROFIT at each level of production.
And assuming that the company will sell all of its output. At what production level is profit maximized?
2007-05-15
08:12:57
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2 answers
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asked by
Munch_101
1