Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Conrad Coding Institute (CCI) offers online courses in coding One of CCl s most popular courses is the introductory course that teaches basic coding skilis.

image text in transcribed
Conrad Coding Institute (CCI) offers online courses in coding One of CCl s most popular courses is the introductory course that teaches basic coding skilis. CCl prices this course aggressively, because of the potential for creating demand for the more advanced (and more profitable) courses. The introductory coding course has the following price and cost characteristics. Required: o. What enroliment will enable CCl to break even? b. How many students wil enable CCl to make an operating profit of $30,000 from the introductory coding course for the year? c. Assume that the projected entollment tor theyeat is 7,500 students for each of the following (considered independenty): 1. What will be the operating profit (for 7,500 students)? 2. What would be the operating profit if the tuituon per fitudent (that is, sales price) decreased by 20 percent? increased by 10 peicent? 3. What would be the operating proft if vanable costs per student decreased by 20 percent? increased by 10 percent? 4. Suppose that fixed costs for the year are 15 percent lower than projected, whereas varable costs per student are 15 percent higher than projected. Whot would be the aperating profithoss for the introductory coding course for the year

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Analysing Financial Performance Using Integrated Ratio Analysis

Authors: Nic La Rosa

1st Edition

0367552523, 978-0367552527

More Books

Students also viewed these Accounting questions