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Please can you help with questions 2) a, b, and c 1) What revenues, profits, and profit margins will HVCC, CM, and the cheese stores

Please can you help with questions 2) a, b, and c

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1) What revenues, profits, and profit margins will HVCC, CM, and the cheese stores earn by selling HVCC cheddar, and how will these three partners firms divide up the sales revenue carned when a consumer buys a pound of HVCC cheddar? HVCC needs to understand the profits and margins that it, CM, and cheese stores will carn on each pound of HVCC cheddar that consumers buy (consumers can buy more, or less, than a pound at a time, but, for this analysis, assume they buy a pound). It has provided you with the following information, and has asked you to use this information as a basis to compute other important information on profits and margins that it still needs: HVCC expects that CM will charge cheese stores S15 for a pound of HVCC cheddar; Cheese stores will carn a 25 % gross margin on their selling price to final consumers; CM will ear a 23% gross margin on its selling price; HVCC will carn a 60% gross margin on its cost. Using this information, HVCC has asked you to prepare a report, containing cach of the following five key indicators of costs, revenues, profits, and profit margins for each of the three levels of the distribution chain (HVCC, CM, and the cheese stores). Note that some of this information is already contained above, so you do not need to calculate it. Also, please keep in mind that you can assume that the selling price for one partner is the cost of goods sold for the next partner in the distribution chain. Thus, you can assume that HVCC's selling price is the same as CM's COGS, and that CM's selling price is the cheese stores' COGS. HVCC has asked you to give it a report which contains the following five pieces of information for each pound of HVCC Cheddar that is sold, for each of HVCC, CM, and the cheese stores: a) Cost of Goods Sold for that level of the distribution chain b) Selling Price " c) Gross Margin in Dollars d) Gross Margin on Cost " e) Gross Margin on Selling Price You may find it convenient to put your answers in a table, if you wish, but be sure to show all calculations. Please show your calculations to the nearest tenth of a penny or tenth of a percent. Please note that this will require 15 pieces of information, and you are given four of these above, and can get two more of these because one firm's selling price is the COGS for the firm it sells to. Thus, you will need to calculate nine additional pieces of information for HVCC 2) How much additional cheddar cheese would HVCC need to sell to break even on creating an improved web site and social media presence? Presently, HVCC's web site and social media presence are pretty minimal. It is considering investing $50,000 per year to improve these elements of its communication with consumers. The new web site would have more information and photographs describing how HVCC cheeses are produced, and stories about the dairy farms, farmers, and cows that provide milk. HVCC would also pay a writer/photographer to create a weekly blog, with many photos, on its web site and on several social media platforms. This blog would report on recent events at HVCC, including recipes that use its cheese, based on seasonal ingredients and holidays, new cheeses it introduces and other cheese-related events. HVCC does not want to raise its prices to pay for the improved online presence, but rather hopes that these activities will increase sales of its cheese. Here, let's inc brane level, & As an exar for a total of total market fo total of $50 milf share in units-5 ma monetary share of whole monetary share of retail sald One of the most important issud Apple sells canned soup, is the r canned soup? Often you will have III) Profit margin Profit margin can definitions. i) gross (whi a) How many additional pounds of cheddar cheese must HVCC sell per year to break even on this additional $50,000 annual cost? b) How much would this additional cheese sell to consumers for, in total, at cheese stores? c) How much would HVCC sell this additional cheese for when it sells cheese to CM? 3) How would a temporary price promotion during the "holiday season" in the US affect the profits of HVCC and its external partners? Suppose HVCC is considering putting its cheddar cheese on sale from Nov. 15 - Jan. 2, a period when many people in the Northeast U.S. celebrate several holidays, often involving parties and family get-togethers where a lot of food, including cheese, is served. Accordingly, HVCC is considering a program where the retail price of HVCC cheddar cheese is reduced by $2 per pound during this period. It plans to reduce the price it charges CM by $2 per pound, and will request that CM reduce the price it charges cheese stores by $2 per pound, and that cheese store reduce their price to consumers by $2 per pound. In other words, it is requesting its partners to "pass through" the $2 price reduction to final consumers. focus on sales of HVCC Cheddar. a) Suppose that HVCC exnoots the

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