Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Business Management Expert

Research the information given below and reply the following problems independently:

1.) Prospective customer in unrelated market offered to buy 2000 andle grinders for R164000. Angle grinders would be produced in addition to 200000 units sold. Regular sales commission on 2000 angle grinders would still be paid by Pringle Limited. Must the offer be accepted?

2.) A supplier offered to produce year's supply of 200000 plastic housings for R12 each. Suppose that Pringle Limited would avoid R700000 of fixed costs allotted to housings if it buys housings. What would be effect on operating profit if it bought rather than made housings? Illustrate your calculations.

INFORMATION

Pringle Limited produces anlge grinders (a power tool). Sales for year just ended were 200000 units at R200. The table below illustrates costs for year ended of plastic housing seperately from costs of electrical and mechanical components.

Electrical & Plastic Angle
mechanical components housing Grinders

Direct materials 8 800 000 1 000 000 9 800 000
Direct labour 800 000 600 000 1 400 000
Variable factory overheads 200 000 400 000 600 000
Other Variable Costs 200 000 - 200 000
Sales commission (10% sales) 4 000 000 - 4 000 000
Fixed Costs 4 440 000 960 000 5 400 000

Business Management, Management Studies

  • Category:- Business Management
  • Reference No.:- M930840

Have any Question? 


Related Questions in Business Management

This defines and addresses a new organizationwhat type of

This defines and addresses a new organization. What type of structure will be best suited to a multinational Internet retailer? Why?How would you recommend building a culture that was inclusive of diverse cultures and ac ...

Describe the dbas responsibilities how can the dba function

Describe the DBA's responsibilities. How can the DBA function be placed within the organization chart? What effect(s) will such placement have on the DBA function? What is Business Intelligence (BI)? Give some recent exa ...

Conduct research on a recent threat or attack on a

Conduct research on a recent threat or attack on a government agency, military organization, or corporate enterprise. Present data that describes the type of threat, the degree of harm caused by the threat, and describe ...

Create a simple java application to generate x random

Create a simple Java application to generate X random Integer values between 0 and Y. Use command line arguments for entry of X and Y.

Assignment to build or buyselect a small business that you

Assignment: To build or buy Select a small business that you visit often (e.g., coffee shop, bookstore, sporting goods store, etc.). Write a 6-8 page paper in which you: 1. Craft a brief (1-2 pages) strategy for a busine ...

Assignmentan organizations image recruiting effortshow can

Assignment An Organization's Image Recruiting Efforts? How can an organization's image help its recruiting efforts? In what ways can it hurt those efforts? Your response should contain 500-600 words. All submissions shou ...

Daily demand of a product is 20 the lead time is estimated

Daily demand of a product is 20. The lead time is estimated to 6 days. If the desired safety stock is 30 units, what is the reorder point?

In 2011 nokia announced a strategic partnership with

In 2011, Nokia announced a strategic partnership with Microsoft, a new strategy and a new internal organization. Microsoft (2011) reported on the changes: "With Nokia's planned move to Windows Phone as its primary smartp ...

Troubleshooting communicationidentify an instance in which

Troubleshooting Communication Identify an instance in which an individual or group presented a sound and creative solution to a problem, but failed to persuade their target audience to accept the proposed solution. Ident ...

Organizational analysis papercontent of the paperthe goal

Organizational Analysis Paper Content of the paper The goal of this project is for you to create a paper that captures the key cultural aspects of the organization you study. You can choose a local organization or the or ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen