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Data table Market research* Y1, Q1 Y1, Q2 Y1, Q3 Y1, Q4 Y2, Q1 Y2, Q2 Y2, Q3 Y2, Q4 Y3, Q1 Y3, Q2 Y3,
Data table Market research* Y1, Q1 Y1, Q2 Y1, Q3 Y1, Q4 Y2, Q1 Y2, Q2 Y2, Q3 Y2, Q4 Y3, Q1 Y3, Q2 Y3, Q3 Y3, Q4 (110) (50) - Product development* Selling price (60) (240) (240) (240) (240) (40) 25 25 25 24 24 23 Cost per unit Margin/unit Sales quantity* Contribution* MSDA expenses* 9 8 7 7 7 16 17 18 17 17 16 3 7 6 20 35 45 45 45 45 320 595 810 765 765 720 85 120 105 105 105 105 Product profit* 235 475 705 660 660 615 Quarterly profit/loss* (110) Cumulative profit/loss* (110) (110) (240) (220) (460) (700) (240) (240) (240) 195 475 705 660 660 615 (940) (1,180) (985) (510) 195 855 1,515 2,130 *In thousands Print Done Data table Market research (000) Product development (000) Y1, Q1 Y1, Q2 Y1, Q3 Y1, Q4 Y2, Q1 Y2, Q2 Y2, Q3 Y2, Q4 Y3, Q1 $ (110) $ (50) (60) $ (170) $ (170) $ (170) $ (170) $ (170) $ (170) $ (40) $ Y3, Q1 Y3, Q2 Y3, Q3 Y3, Q4 Y4, Q1 Y4, Q2 Y4, Q3 Y4, Q4 Selling price $ 24 $ 23 $ 23 $ 22 $ 22 $ 21 $ 20 $ 20 Sales quantity (000) 20 30 40 45 45 45 35 25 Print Done Below are the initial assumptions regarding Berrian Technology's launch of a new digital communications device. (Click the icon to view the initial assumptions.) Suppose that Berrian reduced the quarterly spending on product development, which delayed launching the new product for two quarters, at which time the selling price and sales volume would be lower. Specifically, assume the following: (Click the icon to view the new assumptions.) Requirement Assuming that the cost per unit remains $7 and the MSDA expenses remain $105,000 per quarter, determine the difference between the breakeven time metrics under the initial assumptions and the new assumptions. Begin by recalculating the data using the new assumptions for quarters 1 through 4 for years 1 and 2. (Enter currency amounts in thousands instead of in dollars. Use parentheses or a minus sign for losses.) Market research* Product development* Selling price Cost per unit Margin/unit Sales quantity* Contribution* MSDA expenses* Product profit* Quarterly profit/loss* Cumulative profit/loss* *In thousands Y1, Q1 Y1, Q2 Y1, Q3 Y1, Q4 Y2, Q1 Y2, Q2 Y2, Q3 Y2, Q4
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