Problem amalgamated fenderdenters sales are 10 million the, Ask an Expert

Management Studies

Problem

Amalgamated Fenderdenter's sales are $10 million. The company spends $3.5 million for purchase of direct materials and $2.5 million for direct labor; over head is $3.5 million and profit is $500,000. Direct labor and direct material vary directly with sales, but overhead does not.

The company wants to double its profit.

a) By how much should the firm increase sales?

(b) By how much should the firm decrease material costs?

View complete question

Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M92759334

Have any Question?Write your Review or question?

Related Questions in Operation Management

Share your understanding of the extent to which

Share your understanding of the extent to which legislatures are free to criminalize speech on particular topics and then explain the speech categories that have been excluded from First Amendment protection of speech (o ...

A customer owns a business that makes water filtration

A customer owns a business that makes water filtration equipment and has just received a large order from an owner of several golf courses. The equipment is designed to remove impurities from wastewater allowing reuse on ...

In the case of aviation system engineering company asec

In the case of Aviation System Engineering Company (ASEC) matrix things broke down a little differently than they would have for a company that is selling a physical product. ASEC works in the realm of systems developmen ...

1 which of the following is not an indicator for measuring

1. Which of the following is not an indicator for measuring success in the following scenario (from Q11)? The hospital creates a forward-looking plan to focus on comprehensive, coordinated, and measurable services and st ...

You are selling exclusive hand-made necklace on ebay it is

You are selling exclusive hand-made necklace on eBay. It is estimated that the demand next month (), is a function of the price ?? as follows: D(p) =100-p a) What price maximizes your revenue? What is the maximum revenue ...

1 which of the following strategies for reducing the common

1. Which of the following strategies for reducing the common information effect has been found to be most effective? 2. Which of the following actions by the team or their leadership can result in reduced team performanc ...

1 for each of the following jobs state whether you think

1. For each of the following jobs, state whether you think the pay should emphasize base pay (wages/salaries) or incentive pay (bonuses, profit sharing and so on). Give a reason for each: Please no plagiarism (i) an acco ...

1 how are companies able to save money through their

1. How are companies able to save money through their sustainability efforts? 2. Examine several products from a foreign supplier. How many were manufactured in foreign countries? Do you see evidence of standardization, ...

1 most franchises require a significant portion of the

1. Most Franchises require a significant portion of the initial investment to be provided by equity (as opposed to debt), and often require a substantial personal net worth on the part of the principal owner of the franc ...

The sco candy company would like to determine an aggregate

The SCO Candy Company would like to determine an aggregate production plan for the next five months. The company makes many different types of candy but feels it can plan its total production in pounds provided that the ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Operation Management Expert