Mendel Paper Company
Units Per hour 6 10 5 4
Variable Overhead 9.00 6.00 12.00 8.00 per hour
Computer paper Napkins Place Mats Poster Board Total
Volume 30,000 120,000 45,000 80,000
Selling Price 14 7 12 8.5
Cost of material 6 4.5 3.6 2.5
Units per hour 6 10 5 4
Variable Overheads 9 6 12 8
Variable Overheads per unit 1.5 .6 2.4 2
Total Sales 420,000 840,000 540,000 680,000 2,550,000
Material costs 180,000 540,000 162,000 200,00
Variable Overheads 45,000 72,000 108,000 160,000
Contribution Margin 195,000 228,000 270,000 320,000 1,013,000
Contribution Margin per unit 6.50 1.90 6.00 4.00
Computer paper Napkins Place
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The variable cost of the place mats is the concern of Marlene Herbert. As you can tell by looking at the contribution margins the place mats are adding to the profits of the company. Stopping the production of the place mats would not be a good idea because it would take away from the company profits. Due to the selling price being higher than the variable cost Ms. Herbert should not be concerned with it. As Wouters (1993) put it management must use accounting data when making decisions, which will help in determining if Mendel Paper Company should continue producing place mats or not. Uncontrollable cost should be one of the things looked at before making this decision as well. It is said by Sarkar et al (2013) that when the variable cost is less than the selling price the decisions should be to continue the
If the company decided to sell the new product at price of D.Cr. 8.20, that means the full fixed expense of 1.20 is covered and the company will make high profit. However, the selling price of D.Cr. 8.20 is very high and under this price the company will sell the new product at a lower volume than what the company planned sale volume in the budget and that will affect the company in the market as a strong competitor in the food manufacturing. According to the case, the company sales volume drop to 30 tons when the product was sold at the price of D.Cr. 8.2. Thus, my recommendation are as follows:
1. Why is Brown Forman considering buying Southern Comfort? In your answer consider the strategic motives of Brown and the arguments in favour of and against the acquisition.
Both the family, and the Wal-Mart acknowledge that the family was detained. The Wal-Mart associates believed that they had the right to stop the family based on the assumption of shoplifting, although they should not have physically restrained the family from advancing out of the store, nor denied Debra McCann’s offer of verifying the family’s identity.
The plaintiff (Southern Prestige Industries, Inc.) initiated an action against the defendant (Independence Plating Corp.) in a North Carolina state court for a breach of contract. The plaintiff alleged that defects in the defendant’s anodizing process caused the plaintiff’s machine parts to be rejected by Kidde Aerospace. The defendant being a New Jersey corporation and having its only office and all of its personnel situated in the state filed a motion to dismiss citing lack of personal jurisdiction. The trial court denied the motion and the defendant appealed arguing that there were insufficient contacts to satisfy the due process of law requirements
This case is followed by the laws and regulations of OSHA. OSHA (Occupational Safety and Health Act) is an organization that has been put into place to ensure the safety of employees while on their jobs. These regulations are put into place to help reduce the number of on the job injuries and deaths.
William Marbury was one of the justices of the peace for the District of Columbia. Marbury’s nomination was part of the “midnight appointments” process. They had been nominated by President John Adams and affirmed by the “lame-duck” Senate however Secretary of State John Marshall failed to deliver four of the signed and sealed commissions. President Thomas Jefferson informed secretary of state, James Madison, to hide the commission from William Marbury so that Marbury and colleagues get dismantled of their positions. Therefore, Marbury issued a writ of mandamus as a petition to the Supreme Court to Madison enforcing the delivery of his commission. The case relied on upon the Court's power to issue a writ of mandamus to Secretary of State Madison
Bell Microproducts, Inc. mailed to McGurn an offer of employment that stated that if McGurn were terminated without cause during the first 12 months of employment, he would receive a severance package of $120,000. McGurn crossed out 12 and replaced it with 24, and signed the contract. Bell did not acknowledge the change that had been made to the contract and hired the applicant. McGurn was terminated without cause 13 months later.
United States District Court of Minnesota: Debbie Damberg and Tony Severson, on behalf of LaMettry’s 401(k) Profit Sharing Plan, Plaintiffs. V. LaMettry’s Collission, Inc., Steven P. Daniel, and Joanne M. LaMettry, Defendants
What is the implied average collection period for the end of March? For the end of June?
In the case of Mendel Paper Company which produces four basic paper products lines at one of its plants: computer paper, napkins, place mats, and poster board. Although the plant superintendent, Marlene Herbert is pleases with increased sales he is also concerned about the costs. The superintendent is concerned with the high fixed cost of production, the increases in fixed overhead and even variable overhead. He feels that the production of place mat should be discontinued. His reason for the discontinuation is that the special printing is driving up the variable overhead to the point where the company may not find it profitable to continue with the line. After reviewing the future predictions of the
Elizabeth Blackwell showed herself as a dedicated and diligent doctor during five years of work in Neurological Associates, and made a significant contribution to the profit margin of the partnership. The partners were delighted with hiring Blackwell in 2005 and they introduced her to medical physicians at a conference. But the referral base Blackwell went through was not the result of that investment by the partnership but instead it was the evidence of her professionalism in neurological sphere.
Tennant Company was founded in 1870 by George H. Tennant and initially produced wood products and flooring solutions. Tennant now produces floor-cleaning equipment and technologies, and prides itself on “creating a cleaner, safer, healthier world.” Tennant differentiates themselves from competitors by offering cleaner, safer and healthier products to their customers as well as through direct customer interaction. The Company drew popularity in the 1940s as a cleaning company that offered its services to the defense forces of nations especially those involved in war.
Case Analysis: Blanchard Importing and Distributing Co. Inc. (HBS Case 9 - 673 - 033)
Having in regard all the information that is given in the Case Study, what is, in your opinion, the best Investor/Partner choice for NatuRi Corporation? Is it the Angel Investor, the Strategic
1. How would you characterize the office supplies industry in 1985? What was the approach of large distributors and wholesalers to the small business segment? Why? Who served large accounts? (10)