Creative Cabinets, Inc., needs to choose a production method for its new office shelf, the Maxistand. To
Question:
Creative Cabinets projects an annual demand of 24,000 units for the Maxistand will sell for $120 per unit.
(a) Which process type will maximize the annual profit from producing the Maxistand?
(b) What is the value of this annualprofit?
Transcribed Image Text:
Variable Costs Annualized Fixed Cost of Process Type Mass Plant & Equip. Labor Material Energy Customization $1,260,000 30 18 nterittent Repetitive Continuous 12 20 12 10 2 $1,000,000 24 $L,625,000 28 $1,960,000 25 15
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 80% (5 reviews)
Creative Cabinets a Find breakeven points X Mass customization 1260000 ...View the full answer
Answered By
Rajat Gupta
used to take tution classes from my school time.
Conducted special topic claases during my graduation to help the students pass their exams.
Currently, teaching and conducting online claases during my post- graduation too.
5.00+
1+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Management Leadership questions
-
Metters Cabinets, Inc., needs to choose a production method for its new office shelf, the Maxistand. To help accomplish this, the firm has gathered the following production cost data: Metters...
-
A maintenance firm has gathered the following information regarding the failure mechanisms for air conditioning systems:
-
Otobai is considering still another production method for its electric scooter. It would require an additional investment of 15 billion but would reduce variable costs by 40,000 per unit. Other...
-
At Acme Corp., the firm's senior managers approach marketing implementation with the belief that marketing strategy should be developed at the top of the organization and then transmitted to lower...
-
During a jaunt on your sailboat, you sail 2.00 km east, then 4.00 km southeast, and finally an additional distance in an unknown direction. Your final position is 6.00 km directly east of the...
-
Youre looking at two bonds identical in every way except for their coupons and, of course, their prices. Both have 12 years to maturity. The first bond has a 10 percent coupon rate and sells for...
-
A parallel-plate capacitor with air between its plates carries a charge of \(6.60 \mu \mathrm{C}\) when a \(9.00-\mathrm{V}\) battery is connected to it. How much energy is stored in the capacitor?
-
Dye Company manufactures a single product. Annual production costs incurred in the manufacturing process are shown below for two levels of production. Instructions(a) Define the terms variable costs,...
-
15. 16. What is the final product (major) 'A' in the given reaction? CH3 OH CH CH3 HCI + 'A' (major product) CH3 CH3 Cl CH (B) CH3 CH2-CH3 (A) CH3 CH (C) shiks CH=CH2 (D) Which of the following...
-
Using the data in SLEEP75.RAW (see also Problem 3.3), we obtain the estimated equation The variable sleep is total minutes per week spent sleeping at night, totwrk is total weekly minutes spent...
-
Using Figure in the discussion of value-stream mapping as a starting point, analyze an opportunity for improvement in a process with which you are familiar and develop an improved process.
-
Rochester Manufacturing Corporation (RMC) is considering moving some of its production from traditional numerically controlled machines to a flexible manufacturing system (FMS). Its computer...
-
One small business owner says she doesnt offer her sales representatives incentives because people try to sabotage one another to get more business and stop paying attention to smaller accounts. As a...
-
Briefly describe a job you have or had. If you were promoted, which training method(s) would you use to train the person to do your current job?
-
Will applying the golden rule always result in a decision that you can defend as ethical? Why or why not?
-
Think of and then list all of the items that you think should be included in a new employee onboarding. Briefly justify why each item should be included.
-
Would you rather be given the opportunity to receive incentives based on individual performance or group performance? Does it depend on the situation? Why?
-
Which option for compensation would you want if you were assigned by your company to work in another country? Why?
-
Calculate the mass of lead (0.0382 cal/g x C) that releases 52.5 cal as the metal cools from 35.5 C to 25.0 C.
-
A company pledges their receivables so they may Multiple Choice Charge a factoring fee. Increase sales. Recognize a sale. Collect a pledge fee. Borrow money. Failure by a promissory notes' maker to...
-
Dante borrowed $150,000 from Eden Valley Bank to buy a home. The loan was a fixed-rate mortgage at 4.25 percent with a thirty-year term subject to an acceleration clause and secured by the home....
-
Consider the project described in Table. a. if you start the project immediately. When will it be finished? b. You are interested in completing your project as soon as possible. You have only one...
-
Consider the project described in Table. a. if you start the project immediately. When will it be finished? b. You are interested in completing your project as soon as possible. You have only one...
-
1. Using the information provided, prepare the report that Roberts requested, assuming that the project will begin immediately. Assume 45 working days are available to complete the project, including...
-
How do advanced scenario planning methodologies, such as probabilistic forecasting, sensitivity analysis, and scenario stress-testing, inform the development of robust, adaptive visions that are...
-
How can leaders sustain momentum and relevance around visionary visions amidst evolving external environments, internal dynamics, and competing priorities, fostering adaptability, resilience, and...
-
What cognitive processes underlie the formulation of visionary narratives, and how can leaders leverage storytelling techniques to evoke emotional resonance, foster buy-in, and drive transformative...
Study smarter with the SolutionInn App