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Total fixed costs should remain the same. The fixed cost per unit will vary according to how many units are produced. For example, if fixed costs were $4000, and 400 units were produced, fixed cost per unit is $10. If 100 units were produced, then fixed cost per unit is $40.
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The average age of 30 students of a class is 15 years. Average age remains unaltered even if 3 new students are admitted. The total age of 3 new students is what?
If the new students don't change the average age of the class, that means their average age is 15, too, which means their total age is 3 x 15 =...
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Chip’s Home Brew Whiskey management forecasts that if the firm sells each bottle of Snake-Bite for $20, then the demand for the product will be 15,000 bottles per year, whereas sales will be 90 percent as high if the price is raised 10 percent. Chip’s variable cost per bottle is $10, and the total fixed cash cost for the year is $100,000. Depreciation and amortization charges are $20,000, and the firm has a 30 percent marginal tax rate. Management anticipates an increased working capital need of $3,000 for the year. What will be the effect of the price increase on the firm’s FCF for the year?
All other factors being equal, raising the price to $22 at 90% of the volume at $20 per bottle, increases profit before tax by $12,000, or $8400 after taxes. By...
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How do I calculate marginal cost from total variable cost and what condition will this be?
Margin cost is calculated from total cost, which includes both fixed costs and variable costs. If you tried to calculate your marginal costs based solely on the change in variable...
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What are fixed and variable costs?
Fixed costs are the ones that don't change per month, like rent, utilities, some of your payroll, etc. Variable costs, on the other hand, are things that change on a...
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How do I calculate both fixed and variable cost while given the total cost and what they produced?
To calculate fixed and variable costs, you will need more information than just the total cost and quantity produced. You will need to know either fixed costs or variable costs...
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How can I determine volume if the fixed and variable costs and price of item are known?
In order to calculate volume produced, you will need enough information. If you know the total variable cost (TVC) and unit variable cost (UVC), you can divide them(TVC/UVC) to get...
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What do I do if I cannot completely drain all of the gas from the mower tank and the mower doesn't run? Just a little remains. Is there something I could put in the tank to absorb it?
Leave the cap off the tank and let the mower just sit there for a couple of days. Any remaining petrol will have evaporated away completely by then.
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Should I draw a bear sitting on the opposite side of a picnic table eating cereal?
Yes, that sounds amazing and that would be great to see in art form.
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I have a 15 by 12' area that I would like to landscape. Water lays in that area and the soil is compacted. It is bordered by a sidewalk that is elevated due to tree roots opposite of the said area. Should I just top with top soil and plant or what do you suggest?
This sounds like a good area for constructing a rain garden. Since water pools there, and it is already compacted, it will be easier to work with the natural setting...
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What is the independent and dependent variable for y+5 = x^2 / 3+1?
The variable that is expressed in the first degree (having an exponent of 1) is the dependent variable. In this case, it's y.
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