Explain the current break-even point in dollars is, Operation Management

Assignment Help:

The local convenience store makes bread. Currently, their oven can produce 50 pieces of bread per hour. It has a fixed cost of $2,000, and a variable cost of $0.25 per bread. The owner is considering a bigger oven that can make 75 pieces of bread per hour. It has a fixed cost of $3,000, but a variable cost of $0.20 per piece of bread.

The price per bread is $5. The current break-even points in units is:

The current break-even point in dollars is:

The new break-even point in units will be:

The new break-even point in dollars will be:

If the owner expects to sell 9,000 pieces of bread and changes the oven, will profit change? If so, by how much?


Related Discussions:- Explain the current break-even point in dollars is

Explain marketing infant formula in a developing country, Under what circum...

Under what circumstances, if any, would a firm be justified in marketing infant formula in a developing country?

Qualitative and quantitative justification, 1.  Maggie Company produces a l...

1.  Maggie Company produces a light fixture with the following unit costs:   Direct Materials: $2 Direct Labour: $2 Variable Cost: $3 Fixed Cost: $2 UNIT TOTAL COST: $9   The

System complexity - boulding taxonomy, System complexity - Boulding taxonom...

System complexity - Boulding taxonomy  To obtain an insight into the nature of the system with which the operations manager is dealing, consider the economist Kenneth Boulding

Explain average age of the us workforce is increasing, The average age of t...

The average age of the US workforce is increasing and will continue for several years.

Briefly explain mcdonald''s value chain, Briefly describe McDonald's value ...

Briefly describe McDonald's value chain and discuss how information systems facilitate each component in the chain. How could information technology improve your next trip to McDon

Explain basic controllable production planning problem, What are the basic ...

What are the basic controllable variables of a production planning problem? What are the four major costs? Discuss and explain each variable. Discus and explain each cost.

Describe how personal selling can help solve the problem, Explain how perso...

Explain how personal selling can help solve the problem of information overload.

Define the upside for michelle foster if ncy succeeds, What is the upside f...

What is the upside for Michelle Foster if NCY succeeds? What are the professional risks she faces?

Explain consumption behaviours which you consider unethical, Compile a list...

Compile a list of consumption behaviours which you consider unethical. For each behaviour listed, explain why you view it as wrong

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