Explain should audio cables buy the new equipment, Operation Management

Assignment Help:

Audio cables, INC. is currently manufacturing an adapter that has a variable cost of $.50 per unit and a selling price of $1.00 per unit. Fixed cost are $14,000. Current sales volume is 30,000 units. The firm can substantially improve the product quality by adding a new piece of equipment at an additional fixed cost of $6,000. Variable cost would increase to $.60, but sales volume should jump to 50,000 units due ti a higher-quality product. Should audio cables buy the new equipment?


Related Discussions:- Explain should audio cables buy the new equipment

Assignment, identify the evolution of the operation management?

identify the evolution of the operation management?

Explain would the public approve of this campaign, The marketing team prese...

The marketing team presents a children's cereal brand manager with "Less Sugar" ad campaign for three of her brands. Large print and dynamic type on the package exclaiming "75% LES

What is the probability of having more units in the system, 1. Consider a s...

1. Consider a single-line, single-server waiting line system. Suppose that there is only physical space for 2 units in the system (one in line and one being served). The arrival ra

Describe concept of the internal customer, Discuss the concept of the inter...

Discuss the concept of the internal customer. Who are purchasing's internal customers?

What challenges does develops his five year product roadmap, What challenge...

What challenges does Adam-Woodford face as he develops his five year product roadmap?

Explain why should be performed before signing a contract, What due diligen...

What due diligence should be performed before signing a contract?

Total operation system, critically discuss the total operation system, poli...

critically discuss the total operation system, policies and practices of an organization

Compute maintenance check costs, Tahiti Manufacturing recently purchased a ...

Tahiti Manufacturing recently purchased a new machine. The maintenance contractor recommended that this model should receive maintenance every 3,000 - 6,000 hours of operation. If

Explain probabilities of various caseloads to be unreliable, The director o...

The director of social services of a county has learned that the state has mandated additional information requirements. This will place an additional burden on the agency. The dir

Write Your Message!

Captcha
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