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Management Studies

A producer of pottery is considering the addition of a new plant to absorb the backlog of demand that now exists. The primary location being considered will have fixed costs of $11,152 per month and variable costs of $1.23 per unit produced. Each item is sold to retailers at a price that averages $2.07

a) The volume per month is required in order to break even = ________ (in whole number)

b) The profit or loss would be realized on a monthly volume of 61,000 units = ______

c) The volume is needed to obtain a profit of $16,000 per month = ___________ (in whole number)

d) The volume is needed to provide revenue of $23,000 per month = ___________ (in whole number)

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M93108284

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