anufacturing has asked for a variety of information about the operations of the firm from last year. The CEO is given ti ta missing: variety of operations x Data Table - run cost peru + $ 8.75 ? le continuing to produce and sel CEO has a plan to redu ercentage as in requiren 500,000 units ? new total revenues. (Rour Total sales revenues Number of units produced and sold Selling price Operating income Total investment in assets Variable cost per unit Fixed costs for the year $ 210,000 $ 2,500,000 2.25 $ 3,250,000 Print Done or enter any number in the input fields and then click Check Answer Check Answe Clear All the product which will not lead to the loss of sales and income. Facturing has asked for a variety of information about the operations of the firm from last year. The CEO is given t issi iety Requirements $ Thas tage to produce and sell tal rev 1. Find (a) total sales revenue, (b) selling price, (c) rate of return on investment, and (d) markup percentage on full cost for this product. 2. The new CEO has a plan to reduce fixed costs by $250,000 and variable costs by $0.75 per unit while continuing to produce and sell 500,000 units. Using the same markup percentage as in requirement 1, calculate the new selling price. 3. Assume the CEO institutes the changes in requirement 2 including the new selling price. However, the reduction in variable cost has resulted in lower product quality resulting in 15% fewer units being sold compared to before the change. Calculate operating income (loss). 4. What concerns, if any, other than the quality problem described in requirement 3, do you see in implementing the CEO's plan? Explain briefly. Print Done ter any Clear All Check Answer Coduct which will not lead to the loss of sales and TU CU UN 4.80% Read the requirements Wup per un Markup on full costs its $ 0.42 $ 8.75 Requirement 2. The new CEO has a plan to reduce fxed costs by $250,000 and variable costs by $0.75 per unit while continuing to produce and sell 500,000 units. Using the same markup percentage as in requirement 1, calculate the new selling price. Begin by calculating the new total revenues. (Round your answer to the nearest whole dollar.) New foxed costs argin New total variable costs old New total costs 100 Markup percentage New total revenues .000.000) Choose from any list or enter any number in the input fields and then click Check Anster. ($120,000 this plan by parts 3 remaining Clear All a loss in the ate the non value added cost from the product which will not lead to the loss of sales and experience a Dove operating income Check
