What monthly volume is needed to break even

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1. A loan processing operation has a design capacity of 66 loans per day and an effective capacity of 54 loans per day.

What is its utilization if it processes an average of 46 loans per day? (Your answer should be a percentage with one decimal point.)

2. A pottery maker is considering adding a new plant for additional capacity. The proposed facility will have fixed costs of $10500 per month and variable costs of $0.80 per unit produced. Each piece of pottery is sold to retailers at a price that averages $0.99.

What monthly volume is needed to break even?

Reference no: EM132296772

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