Question: Adding a new lathe machine into the manufacturing process, a company reduced processing time for each unit so that output is increased by 2 5

Adding a new lathe machine into the manufacturing process, a company reduced processing time for each unit so that output is increased by 25% with less material but needed to add one skilled worker to operate the machine. Under the old process, five workers could produce 60 units per hour. Labor costs are $12/hour and material input were previously $16/unit. For the new process, the material now is $10/unit. Overhead is charged at 1.6 times the direct labor cost. Finished units sell for $31 each.
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How much is the new output?

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