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Q. Given the following data for Albert's fabricating production area:
Fixed costs for one shift = $60,000Unit variable cost = $7Selling price = $12Number of machines = 5Number of working days in yr= 340Processing time per unit = 60 minutes
a. Illustrate what is the capacity with a single 8-hour shift?
b. Illustrate what is the capacity with two shifts? The additional fixed cost for a second shift is $40,000.
c. Illustrate what is the break-even volume with a single-shift operation?
d. Illustrate what is the maximum revenue with a single shift?
e. Illustrate what is the break-even volume with a two-shift operation?
f. Draw the break-even chart.
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