What are the expected total costs

Assignment Help Supply Chain Management
Reference no: EM131427235

A. Create an original cost structure exercise/problem for your peers to answer

B. An automotive repair shop has a fixed operating cost of $2,500 per day. The variable cost per repair is $225.

If the auto shop completes 6,000 repairs in the year:

What are the expected total costs?

What are the total costs if they complete only 3,500 repairs?

What if they complete 8,000 repairs?

What is the average cost per repair for 3,500, 6,000, and 8,000 completed repairs?

C. Orchid Corporation is a flower distributor that has been very profitable for more than a decade. Last year the company did not see the same type of profit results as in previous years and wanted to do a cost structure analysis for which they have asked us to help. Using the table below, identify the total cost, variable cost and the marginal cost for this business. The quantity distributed is 200 flower units per employee.

Number of Employees

Quantity Distributed

Fixed Costs

Variable Costs

Total Costs

Marginal Costs

0

0

$5,000




1

200

$5,000




2


$5,000




3


$5,000




4


$5,000




5


$5,000




Verified Expert

This task provides a clear working example of marginal cost, total cost and variable cost. When marginal cost is above average total cost, average total cost must be rising. If the additional cost of producing one more unit of output is greater than what it costs to produce each unit of output on average, then producing that one more unit of output must increase the average total cost.

Reference no: EM131427235

Questions Cloud

How many friend samples sara should have in order to draw : Use the Internet or Strayer Library to research articles on hypothesis test and its application in business. Select one (1) company or organization which utilized hypothesis test technique for its business process (e.g., whether or not providing f..
Analyze the sustainable approach to waste reduction : Analyze the sustainable approach to waste reduction developed by the company you selected - Evaluate other businesses that might benefit from the waste reduction measures of this company.
Why does nike list redeemable preferred stock as a liability : What is NIKE's accumulated balance of comprehensive income as of May 31, 2009? What does the balance primarily consist of, and what was the comprehensive income amount for the year? Was it greater than or less than net income?
Corporate investigation and one of civil investigation : As a forensic investigator, provide two examples, one of a corporate investigation and one of a civil investigation, in which you would be asked to provide evidence. Where would the evidence supporting each of the cases in your example be likely ..
What are the expected total costs : What are the expected total costs - What are the total costs if they complete only 3,500 repairs?
Prepare a performance report using spreadsheet software : HBC is a small organization dedicated to making bear-shaped sweets with honey as a sugar substitute. You have just been promoted to a position as manager of the production department at HBC when your supervisor shows you the following report. She ..
Describe the key deliverables associated with each of option : Explain the five phases of the project. Provide a detailed description of each phase. Describe the key deliverables associated with each of the project options.
World most common types of objects : Discuss how each of the following terms and concepts applies to the notion of a watch: object, attributes, behaviors, class, inheritance (consider, for example, an alarm clock), abstraction, modeling, messages, encapsulation, interface and informa..
Explain the nature of stock-based compensation expense : Why would it appear on the statement of shareholders' equity, and on what other financial statement would it also appear?

Reviews

inf1427235

3/22/2017 4:24:07 AM

Thank you. I truly acknowledge and esteem the service that Expertsmind give. All of you have been giving me with extraordinary support of more than 2 years.

Write a Review

Supply Chain Management Questions & Answers

  Supply chain network design for cwc

This assignment explain the supply chain management process of cwc. What is the current annual supply chain cost?

  Criteria when making new location decisions

Identify a number of the typical criteria used when making new location decisions

  Draw the project network

Determine the mean critical path for Brent's job search process. What is the variance of the project duration?

  Compare and contrast economic - market, and relevancy

Please compare and contrast economic, market, and relevancy value.

  Brushing up on inventory control

Health system in Pennsylvania

  Supply chain strategy

Supply chain strategy

  What is the economic order quantity for fans in units

Nittany Fans of Lewistown, Pennsylvania, is a distributor of industrial fans used in plants, warehouses, and other industrial facilities.

  What factors reduce the capacity of the organization

What factors reduce the capacity of the organization to get its objectives?

  What is the total annual cost

What is the total annual cost

  Supply chain management questions

Briefly define the following two supply chain metrics: (i) inventory turnover ratio and (ii) supply chain velocity.

  Explain the supply chain management concept

Explain the supply chain management concept, Differentiate between public and private sector organisations in terms of their supply chain objectives and strategies

  How warehouses can add value in the supply chain

How warehouses can add value in the supply chain

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd