Question: had to split up question An electronics firm is currently manufacturing an item that has a variable cost of $0.55 per unit and a selling

had to split up question had to split up question An electronics firm is
had to split up question An electronics firm is
An electronics firm is currently manufacturing an item that has a variable cost of $0.55 per unit and a selling price of $7.55 per unit. Fixed costs are $14,000. Current volume is adding a new piece of equipment at an additional fixed cost of $6,000. Variable cost would increase to $0.70 and the selling price would be revised to 57.65 with the expectatio product If the firm doo not add new equipment, its profit will bo = 231000 dollari (round your response to the nearest whole number and includo a minus sign it the profit is negativo) If the firm does add new equipment, its profit will be = 292750 dollar (round your raponse to the neuront wholo number and include a minun sogn if the profit is negativo). Based on the given information, the decision should be to stay as is add new equipment 2.55 per unit. Fixed costs are $14,000. Current volume is 35,000 units. The firm can substantially improve the product quality by Selling price would be revised to $7.65 with the expectation that the volume would be 45,000 units as a result of a higher quality number and include a minus sign if the profit is negative). umber and include a minus sign if the profit is negativo)

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