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Smith Company produces office chairs. The price of the chairs is 150.99 and the variable per chair is $50.99. The following fixed costs are incurred:

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Smith Company produces office chairs. The price of the chairs is 150.99 and the variable per chair is $50.99. The following fixed costs are incurred: appreciation of plant and equipment per year $30,000 property taxes per year 15,000 Manager's salary and fringe benefits per month 6,500 perform a breakeven analysis of this company: a. What is the total revenue function b. What is the total cost function? c. What is the profit function? d. What is the breakeven point in number of chairs? e. What is the revenue at the breakeven point? f. What is the income at the breakeven point? g. Estimate the profit when 2,500 chairs are produced in a year. h. How many chairs must be sold for the company to make $85,000 in a year? a) If an investor is supposed to receive $5,000,000 in 10 years' time, how much money is this equivalent to at present if the rate of interest is 5%? b) At the beginning of each month an investor deposits $3000 into an account which offers 2% p.a. compound interest. What is the value of the investment at the end of 6 years? c) A $2,000,000 mortgage has a 40 years repayment period and the interest rate is 5% p.a. What is the yearly installment and monthly installment

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