subject
Business, 29.10.2020 16:10 oldless504

Jamie is considering leaving her current job, which pays $75,000 per year, to start a new company that develops applications for smartphones. Based on market research, she can sell about 50,000 units during the first year at a price of $4 per unit. With annual overhead costs and operating expenses amounting to $145,000. Jamie expects a profit margin of 20 percent. This margin is 5 percent larger than that of her largest competitor, Apps, Inc.1. If Jamie decides to embark on her new venture: a. What will her accounting costs be during the first year of operation? b. Her implicit costs? c. Her opportunity costs?2. Suppose that Jamie's estimated selling price is lower than originally projected during the first year. How much revenue would she need in order to earn positive accounting profits?

ansver
Answers: 3

Another question on Business

question
Business, 22.06.2019 21:10
The blumer company entered into the following transactions during 2012: 1. the company was started with $22,000 of common stock issued to investors for cash. 2. on july 1, the company purchased land that cost $15,500 cash. 3. there were $700 of supplies purchased on account. 4. sales on account amounted to $9,500. 5. cash collections of receivables were $5,500. 6. on october 1, 2012, the company paid $3,600 in advance for a 12-month insurance policy that became effective on october 1. 7. supplies on hand as of december 31, 2010 amounted to $225. the amount of cash flow from investing activities would be:
Answers: 2
question
Business, 22.06.2019 22:50
Adding a complementary product to what is currently being produced is a demand management strategy used when: a. capacity exceeds demand for a product that has stable demand.b. price increases have failed to bring about demand management.c. demand exceeds capacity.d. demand exceeds 100 percent.e. the existing product has seasonal or cyclical demand.
Answers: 3
question
Business, 23.06.2019 04:40
Aneighborhood home owners association suspects that the recent appraisal values of the houses in the neighborhood conducted by the county government for taxation purposes is too high. it hired a private company to appraise the values of ten houses in the neighborhood. the results, in thousands of dollars, are?
Answers: 1
question
Business, 23.06.2019 06:40
Acollege career counselor working at a community college is part of what career area? a. administration b. professional support services c. teaching and training d. guidance counseling
Answers: 2
You know the right answer?
Jamie is considering leaving her current job, which pays $75,000 per year, to start a new company th...
Questions
question
Mathematics, 21.06.2019 12:30
question
Social Studies, 21.06.2019 12:30