Answered step by step
Verified Expert Solution
Question
1 Approved Answer
could u pls get this done soon? its due tonight CAN U GUYS ANSWER IT???!!!!! Royce Paints makes and sell paint to home improvement stores
could u pls get this done soon? its due tonight
CAN U GUYS ANSWER IT???!!!!!
Royce Paints makes and sell paint to home improvement stores Royce's only plant can produce up to 17 million cans of paint per year. Current annual production is 12 million cans. Fixed manufacturing, selling, and administrative costs total $18 million per year. The variable cost of making and selling each can of paint is $8 90. Stockholders expect a 20% annual return on the company's 544 million of assets Read the requirements i i Requirements 1. What is Royce's current total cost of making and selling 12 million cans of paint? What is the current cost per can of paint? 2. Assume that Royce is a price-taker and the current wholesale market price is $6.40 per can of paint. What is the target total of cost in producing and selling 12 million cans of paint? Given Royce's current total costs, will the company reach stockholders' profit goals? 3. Continuing with Requirement 2, let's say that Royce has found ways to reduce its total fixed costs by $310,000. What is the target variable cost per can of paint? 4. Suppose Royce plans to spend an additional $1.9 million on advertising to differentiate its product in order to increase sales volume to 14 million cans and become more of a price-setter. Assume that Royce did reduce its total fixed costs by $310,000 as stated in Requirement 3 but could not find vlays to save on its variable costs. What is the cost-plus price for a can of paint under these conditions? Print Done Requirement 1. What is Royce's current total cost of making and coling 12 mlion cons of polm? What is the current cost per can of paint? Select the formule labels and enter the amounts to calculeRoyce's current total cost and current cost per can of paint (Enter currency amounts in dotars, not in milione unitate whole numbers, not in milion Round al currency amounts to the nearest whole dollar and round the cost per unit to the nearest cont, 5XXX) Number of units Plus Divided by Total cost per unit Royce Paints makes and sell paint to home improvement stores Royce's only plant can produce up to 17 million cans of paint per year. Current annual production is 12 million cans. Fixed manufacturing, selling, and administrative costs total $18 million per year. The variable cost of making and selling each can of paint is $8 90. Stockholders expect a 20% annual return on the company's 544 million of assets Read the requirements i i Requirements 1. What is Royce's current total cost of making and selling 12 million cans of paint? What is the current cost per can of paint? 2. Assume that Royce is a price-taker and the current wholesale market price is $6.40 per can of paint. What is the target total of cost in producing and selling 12 million cans of paint? Given Royce's current total costs, will the company reach stockholders' profit goals? 3. Continuing with Requirement 2, let's say that Royce has found ways to reduce its total fixed costs by $310,000. What is the target variable cost per can of paint? 4. Suppose Royce plans to spend an additional $1.9 million on advertising to differentiate its product in order to increase sales volume to 14 million cans and become more of a price-setter. Assume that Royce did reduce its total fixed costs by $310,000 as stated in Requirement 3 but could not find vlays to save on its variable costs. What is the cost-plus price for a can of paint under these conditions? Print Done Requirement 1. What is Royce's current total cost of making and coling 12 mlion cons of polm? What is the current cost per can of paint? Select the formule labels and enter the amounts to calculeRoyce's current total cost and current cost per can of paint (Enter currency amounts in dotars, not in milione unitate whole numbers, not in milion Round al currency amounts to the nearest whole dollar and round the cost per unit to the nearest cont, 5XXX) Number of units Plus Divided by Total cost per unit Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started