What volume is needed to obtain a profit

Assignment Help Operation Management

Reference no: EM133298541

Want correct solution and proper explanation show all your work

Question: A producer of pottery is considering the addition of a new plan to absorb the backlog of demand that now exists. The primary location being considered will have the fixed costs of $20,000 and variable costs of $6 per unit produced. Each item is sold to retailers at a price that averages $10 Required: (rounded to two decimal places): b. What profit would be realized on a monthly volume of 15,000 units? c. What volume (Q) is needed to obtain a profit of $15,000 per month? d. What volume (Q) is needed to provide a revenue of $25,000 per month?

Reference no: EM133298541

Questions Cloud

Why do you feel discharge was a smart business decision : define the particular method of discharging a contract described in your article. Do you feel the discharge was a smart business decision? Why?

Describe your key concerns : Describe your key concerns. As well, provide at least one recommendation to address any of the concerns you list. Remember, your recommendation must be specific

Write out about the firm and their statistics : Write out about the firm and their statistics. Do you think the firm has an opportunity to improve on its ESG performance? Why or why not?

What kind of system could be developed to evaluate : What kind of system could be developed to evaluate the intangible, nonfinancial motivational factors, and how might it be implemented at Sales Actions Software

What volume is needed to obtain a profit : What volume is needed to obtain a profit of $15,000 per month? d. What volume (Q) is needed to provide a revenue of $25,000 per month

What are the key considerations when we are managing queues : What are the key considerations when we are managing queues? What is the most difficult calculation when considering the cost aspects of a queue?

Why is conflict resolution important in human resources : why is conflict resolution important in Human resources and human relations and Why are both assertiveness skills and negotation skills important to conflict

Develop an excel worksheet to show costs of your computer : Develop an Excel worksheet in which you show one-year costs of your computer choice, operating system, productivity suite, and antivirus software

What do you envision will happen with information technology : What do you envision will happen with Information Technology ? Will you need a "license" to compute ? Will you need to have your device(s) inspected ?

User Account

All Pages