Just for Fun (no response necessary) Two operations analysts…
Just for Fun (no response necessary) Two operations analysts were traveling by airplane from SLC to New York. About an hour into the flight, the pilot announced that they had lost an engine, but not to worry as there were three engines still functioning. However, instead of 4 hours, it would take 6 hours to get to New York due to reduced air speed. A little later, he announced that a second engine failed, and they still had two left, but it would take 10 hours to get to New York. Somewhat later, the pilot again came on the intercom and announced that a third engine had died. Never fear, he announced, because the plane could fly on a single engine. However, it would now take 16 hours to get to New York. At this point, one operations analyst turned to the other and said, “Gee, I hope we don’t lose that last engine, or else my forecast predicts we’ll be up here forever!” (Whew! You are all done with the exam.)
Read DetailsAssume a fixed cost for a process of $120,000. To produce ea…
Assume a fixed cost for a process of $120,000. To produce each unit of product, 1 hour of labor and $20 of materials are used. Employees are paid $15 per hour. The selling price for the finished product is $50 per unit. Which of the following is the approximate number of units that has to be produced and sold to break-even?
Read Details