Business, 21.04.2020 18:40 braydenaddison738

1. If Apple expects sales of 100,000 units, compute its margin of safety (a) in dollars and (b) as a percent of expected sales.2(a). Apple anticipates it will sell 100,000 units in the coming year. It is considering investing in a new machine that will increase its fixed costs by $7,500,000 per year and decrease its variable costs by $40 per unit. Compute net income if Apple does not purchase the machine.2(b). Apple anticipates it will sell 100,000 units in the coming year. It is considering investing in a new machine that will increase its fixed costs by $7,500,000 per year and decrease its variable costs by $40 per unit. Compute net income if Apple does purchase the machine.3(a). Apple anticipates it will sell 100,000 units in the coming year. A marketing executive believes that increasing advertising costs by $4,000,000 will increase Apple’s sales volume to 110,000 units. Compute net income if Apple does not increase advertising expenses.3(b). Apple anticipates it will sell 100,000 units in the coming year. A marketing executive believes that increasing advertising costs by $4,000,000 will increase Apple’s sales volume to 110,000 units. Compute net income if Apple does increase advertising expenses.

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1. If Apple expects sales of 100,000 units, compute its margin of safety (a) in dollars and (b) as a...

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