Golden Star Winery Case
Question # 00001776
Posted By:
Updated on: 09/29/2013 07:23 AM Due on: 09/29/2013
Golden Star Winery Case
Using Excel, prepare a graph showing the breakeven point and any profit or loss at the current price of $7. Explain to the Golden Star management the implications of this analysis.
Let us separate out fixed and variable expenses first.
| Fixed Expenses | |||||||||||||||
| Fixed Manufacturing expenses | $45,000 | ||||||||||||||
| Advertising | $10,000 | ||||||||||||||
| Fixed adminsitrative/selling expenses | $15,000 | ||||||||||||||
| Total | $70,000
|
-
Rating:
/5
Solution: Solution to Golden Star Winery Case