Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please answer all the required in the red square, highlight and/or bold the final answers please ! Required information (The following information applies to the

image text in transcribedPlease answer all the required in the red square, highlight and/or bold the final answers please

! Required information (The following information applies to the questions displayed below. UR Safe Systems installs home security systems. Two of its systems, the ICU 100 and the ICU 900, have these characteristics: ICU 100 2 Design Specifications Video Cameras Video monitors Motion detectors Floodlights Alarms Wiring Installation ICU 900 4 6 1 2 3 1,140 ft. 20 hr Cost Data $ 121/ea $ 55/ea $ 17/ea $ 3/ea 2 $ 18/ea 5 760 ft. 20 hr $ 0.2/ft. $ 14/hr The ICU 100 sells for $970 installed, and the ICU 900 sells for $1,680 installed. Required: 1. What are the current profit margin percentages on both systems? 2. UR Safe's management believes that it must drop the price on the ICU 100 to $910 and on the ICU 900 to $1,550 to remain competitive in the market. Recalculate profit margin percentages for both products at these price levels and then compute the target cost needed for each product to maintain the current profit margin percentages. (For all requirements, round your percentage answers to 2 decimal places and other answers to the nearest whole dollar amount.) ICU 100 ICU 900 1 % % 2. Current profit margin Profit margin Target cost % %

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

Studies Of Company Records (RLE Accounting)1830-1974

Authors: J. R. Edwards

1st Edition

1138983306, 9781138983304

More Books

Students also viewed these Accounting questions

Question

Identify ways to increase your selfesteem.

Answered: 1 week ago