Question: Old MathJax webview Summarize your observations concerning how the potential new equipment purchase will impact each of the productivity values and total revenue. Provide a

Old MathJax webview

Summarize your observations concerning how the potential new equipment purchase will impact each of the productivity values and total revenue. Provide a recommendation whether to purchase the equipment and also provide supporting evidence for your recommendation.

Please see tables in picture!!

Old MathJax webview Summarize your observations

Old MathJax webview Summarize your observations

I have already answered everything in the following pictures I ONLY need question 10 answered.

Old MathJax webview Summarize your observations

Old MathJax webview Summarize your observations

Current Values Use column F for Data: Metric Sales (units) Units Produced Labor (hours) Labor Cost ($) per hour Materials Cost ($) Equipment (Hours) Equipment Cost ($) Fixed Costs ($) Selling Price per Unit Parent (Domestic) 1,400,000 1,400,000 40,000 $14.57 $400,000 120,000 $1,359,600 $2,000,000 $9.99 Subsidiary (LDC) 450,000 480,000 20,000 $5.52 $200,000 30,000 $225,000 $725,000 $7.99 question 8 Parent (Domestic) 1,400,000 1,400,000 30,000 $14.57 $400,000 100,000 $1,248,000 $3,500,000 $9.99 What If Productivity Values Based on New Data Entered in Column F Measure Parent Organization Labor Productivity (units/labor hour) 46.67 Labor Productivity (units/labor $) 3.20 Materials Productivity (units/$) 3.50 Equipment Productivity (units/hour) 14.00 Equipment Productivity (units/$) 1.12 Total-Factor Productivity (units/$) 0.25 $9,643,600 Pre Equipment Purchase Total Profit Post Equipment Purchase Total Profit $8,400,900 Provide one possible explanation how the Parent can be more productive when considering labor productivity in units per hour, but the subsidiary is more productive in units per dollar.) ton is the Parent company is more productive when considering the productivity in units per hour but the Subsidiary is more producitve in units per dollar is because the parent company is more productive in production en Producing more units per hour but the labor costs of the Subsidiary is cheaper than the Parent company, thus the Subsidiary is more productive in units per dollar. st Equipment Purchase Assume purchase of new equipment at an incremental, one-time fixed cost of $1,500,000 resulting in a reduction in labor hours to 30,000, a reduction in Equipment Hours to 100,000, and a reduction of Equipment Costs to $1.248,000 with all other costs remaining the same. Change the appropriate values in column Fabove. Answer the questions below by comparing the new productivity value in cells D18 through D23 to the values you calculated as the "Productivity Calculations" worksheet. For example, if the value in D18 on this worksheet (Labor Productivity in units/labor hour) is less than the value for Labor Productivity in units/labor hour for the Parent operations on the "Productivity Calculations worksheet, then chouse decreased Productivity Measure Choose the correct answer for each productivity calculation increased Labor Productivity in terms of units/labor hour increased Labor Productivity in terms of units/labor $ Materials Productivity in terms of units/Materials Cost (5) Productivity Calculations stayed the same What If Analysis + B 1 A Data HI 09 IM 08 Cell Styles Format Font Alignment Number Styles Calls Editing D G H B stayed the same increased Materials Productivity in terms of units/Materials Cost (S) Equipment Productivity in terms of units/hour Equipment Productivity in terms of units/S Total Factor Productivity in terms of units/s increased decreased Parent Equipment Purchase Part 2) 9. Calculate Total Revenue prior to any uipment changes using data in cells C6 through C14 above. The formula for Profit is Total Revenue - Total Costs The formula for Total Revenue is Total Units Sold Selling Price per Unit $9,643,600 Pre Equipment Purchase Total Profit Post Equipment Purchase Total Profit $8,400,900 10. Summarize your observations concerning how the potential new equipment purchase will impact each of the productivity values and total revenue. Provide a recommendation whether to purchase the equipment una provide supporting evidence for your recommendation. Productivity Calculations What-if Analysis

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