Study Guides (248,494)
Canada (121,593)
Marketing (515)
MKT 100 (258)

Metrics 1

4 Pages
536 Views
Unlock Document

Department
Marketing
Course
MKT 100
Professor
Paul Finlayson
Semester
Winter

Description
Worksheet: Metric 1 Expense Types 1) The Comfy Chair Company makes reclining chairs at its plant and sells them exclusively through its own retail store. It has the following expenses: Plant rent and taxes = $12,000.00 Office and management expenses = $220,000.00 Machinery and equipment purchased = $100,000.00 Direct materials = $27.00chair Direct labour = 4 hourschair @$14.00hour Transportation = $5.00chair Commercial store front unit purchase = $500,000.00 Advertising costs = $100,000.00 Sales staff wages before commissions = $250,000.00 Commission = $12.00chair (a) Identify the Comfy Chair Companys variable costs. (b) What is the total cost to produce and sell each reclining chair? (c) Identify the Comfy Chair Companys fixed costs. (d) What are the total fixed costs? (e) Identify the one-time fixed costs incurred by the Comfy Chair Company. (f) What are the total one-time fixed costs? Answer: (a) Direct materials = $27.00chair Direct labour = 4 hourschair @$14.00hour Transportation = $5.00chair Commission = $12.00chair (b) $100.00chair (c) Plant rent and taxes = $12,000.00 Office and management expenses = $220,000.00 Advertising costs = $100,000.00 Sales staff wages = $250,000.00 (d) $582,000.00 (e) Machinery and equipment purchased = $100,000.00 Commercial store front unit = $500,000.00 (f) $600,000.00 www.notesolution.com
More Less

Related notes for MKT 100

Log In


OR

Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


OR

By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.


Submit