Question: C&A uses two steps to make a toy. Step 1 takes 20 seconds. Step 2 takes 15 seconds. Each step is staffed by one worker,

C&A uses two steps to make a toy. Step 1 takes 20 seconds. Step 2 takes 15 seconds. Each step is staffed by one worker, for a total of two workers. Each worker is paid $15 per hour. Each toy is sold for $20. Material costs are $5 per toy and fixed costs are $500 per hour. Demand rate is 120 toys per hour.

a) How much profit does C&A make per hour?

b) What will be the impact on C&As profit per hour if the processing time of step 2 is reduced to 10 seconds?

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!

Q:

C&A uses two steps to make a toy. Step 1 takes 20 seconds. Step 2 takes 15 seconds. Each step is staffed by one worker, for a total of two workers. Each worker is paid $15 per hour. Each toy is sold...

Q:

C&A uses two steps to make a toy. Step 1 takes 20 seconds. Step 2 takes 15 seconds. Each step is staffed by one worker, for a total of two workers. Each worker is paid $15 per hour. Each toy is sold...

Q:

C&A uses two steps to make a toy. Step 1 takes 20 seconds. Step 2 takes 15 seconds. Each step is staffed by one worker, for a total of two workers. Each worker is paid $15 per hour. Each toy is sold...

Q:

Amazing Toys uses two steps to make a toy. Step 1 takes 20 seconds. Step 2 takes 15 seconds. Each step is staffed by one worker, for a total of two workers. Each worker is paid $15 per hour. Assume...

Q:

C&A uses two steps to make a toy. Step 1 takes 2 0 seconds. Step 2 takes 1 5 seconds. Each step is staffed by one worker, for a total of two workers. Each worker is paid $ 1 5 per hour. Each toy is...

Q:

please help me out to solve the following 16 C&A Fast Food has four activities in serving a customer greet customer, take order, process order, and deliver order Each activity is staffed by one...

Q:

C&A uses two steps to make a toy. Step 1 takes 20 seconds. Step 2 takes 15 seconds. Each step is staffed by one worker, for a total of two workers. Each worker is paid $15 per hour. Each toy is sold...

Q:

4. C\&A uses two steps to make a toy. Step 1 takes 20 seconds. Step 2 takes 15 seconds. Each step is staffed by one worker, for a total of two workers. Each worker is paid $15 per hour. Each toy is...

Q:

C&A uses two steps to make a toy. Step 1 takes 20 seconds. Step 2 takes 15 seconds. Each step is staffed by one worker, for a total of two workers. Each worker is paid $15 per hour. Each toy is sold...

Q:

C&A uses two steps to make a toy. Step 1 takes 20 seconds. Step 2 takes 15 seconds. Each step is staffed by one worker, for a total of two workers. Each worker is paid $15 per hour. Each toy is sold...

Q:

Let y = final exam score and x = midterm exam score. Suppose that the correlation is 0.70 and that the standard deviation is the same for each set of scores. a. Using part b of the previous exercise...

Q:

Albert started a new business that produces household appliances. The business has gathered momentum and has established significant market share. Albert thinks that the cost of making products is...

Q:

A closed end fund management offers shares at a point in time, thereafter it neither purchases nor sells shares, and are generally traded on an exchange, like the NYSE, where they sell at market...

Q:

Case Greenbuilders Pte Lid ("GPL") is a local construction company which specialises in providing bespoke Design and Build construction services for private residential homes that are designed to be...