1. Calculate Bisk's operating income for 2016. 2. For 2017 , retailers are demanding a 6% discount off the 2016 price. Bisk's suppliers are only willing to give a 3% discount. Bisk expects to sell the same quantity of marble tiles in 2017 as in 2016. If all other costs and cost-driver information remain the same, calculate Bisk's operating income for 2017. 3. Suppose further that Bisk decides to make changes in its ordering and receiving-and-storing practices. By placing long-run orders with its key suppliers, Bisk expects to reduce the number of orders to 600 and the cost per order to $40 per order. By redesigning the layout of the warehouse and reconfiguring the crates in which the marble tiles are moved, Bisk expects to reduce the number of loads moved to 3,825 and the cost per load moved to $38. Will Bisk achieve its target operating income of $2.53 per tile in 2017 ? Show your calculations. Requirement 1. Calculate Bisk's operating income for 2016. Revenues Costs: Purchase cost of tiles Ordering costs Receiving and storage Shipping Total costs Operating income Requirement 2. For 2017, retailers are demanding a 6% discount off the 2016 price. Bisk's suppliers are only willing to give a 39s discount. Bisk expects to sell the same quantity of marble tiles in 2017 as in 2016. If all other costs and cost-driver information remain the same, calculate Bisk's operating income for Requirement 3. Suppose further that Bisk decides to make changes in its ordering and receiving-and-storing practices. By placing long-run orders with its key suppliers, Bisk expects to reduce the number of orders to 600 and the cost per order to $40 per order. By redesigning the layout of the warehouse and reconfiguring the crates in which the marble tiles are moved, Bisk expects to reduce the number of loads moved to 3.825 and the cost per load moved to $33 Will Bisk achieve its target operating income of $2.53 per tile in 2017 ? Show your calculations. Begin by calculating Bisk's operating income, then the per unit amounts it the company makes these changes. (Round the per unit amounts to the nearest cent.) Bisk to achieve its target operating income of $2.53 per tile in 2017. 1. Calculate Bisk's operating income for 2016. 2. For 2017 , retailers are demanding a 6% discount off the 2016 price. Bisk's suppliers are only willing to give a 3% discount. Bisk expects to sell the same quantity of marble tiles in 2017 as in 2016. If all other costs and cost-driver information remain the same, calculate Bisk's operating income for 2017. 3. Suppose further that Bisk decides to make changes in its ordering and receiving-and-storing practices. By placing long-run orders with its key suppliers, Bisk expects to reduce the number of orders to 600 and the cost per order to $40 per order. By redesigning the layout of the warehouse and reconfiguring the crates in which the marble tiles are moved, Bisk expects to reduce the number of loads moved to 3,825 and the cost per load moved to $38. Will Bisk achieve its target operating income of $2.53 per tile in 2017 ? Show your calculations. Requirement 1. Calculate Bisk's operating income for 2016. Revenues Costs: Purchase cost of tiles Ordering costs Receiving and storage Shipping Total costs Operating income Requirement 2. For 2017, retailers are demanding a 6% discount off the 2016 price. Bisk's suppliers are only willing to give a 39s discount. Bisk expects to sell the same quantity of marble tiles in 2017 as in 2016. If all other costs and cost-driver information remain the same, calculate Bisk's operating income for Requirement 3. Suppose further that Bisk decides to make changes in its ordering and receiving-and-storing practices. By placing long-run orders with its key suppliers, Bisk expects to reduce the number of orders to 600 and the cost per order to $40 per order. By redesigning the layout of the warehouse and reconfiguring the crates in which the marble tiles are moved, Bisk expects to reduce the number of loads moved to 3.825 and the cost per load moved to $33 Will Bisk achieve its target operating income of $2.53 per tile in 2017 ? Show your calculations. Begin by calculating Bisk's operating income, then the per unit amounts it the company makes these changes. (Round the per unit amounts to the nearest cent.) Bisk to achieve its target operating income of $2.53 per tile in 2017
