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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 · 2 answers · asked by Munch_101 1 in Business & Finance Investing

2 answers

For 2 (maybe 10) points?!?

Figure the ranges, it is like a box. The top of this, the bottom of that, and you define your supply curve for that product. The industry supply curve is then the aggregate of ranges for all the producers. I'll let you do the math, though.

2007-05-15 15:35:27 · answer #1 · answered by Rabbit 7 · 0 0

merely upload up your expenses at each point and then divide with the aid of the style of bottles. it is your unit value. Multiply the style of bottles with the aid of the sales value and that's your sales point. %. the backside value and that's the place that is minimized.

2016-11-23 14:56:47 · answer #2 · answered by ? 3 · 0 0

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