The table below contairs infommation relating to the products: Roast Midveek 3.50 Brunch 2.80 0.75 Average...
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The table below contairs infommation relating to the products: Roast Midveek 3.50 Brunch 2.80 0.75 Average selling price per unit Direct Meteial; vegetables Direct Material, other ingredients Direct isteial; packaging Preparstion 5.00 0.50 027 0.38 0.63 0.30 1.54 0.69 0.86 0.40 0.72 0.20 Baking 0.50 0.25 1.00 Fbced overheeds for the factory that produces this range sre ušually £40.000 per month. Baking costs £2 per hour. Last January a netiomvide veganism promotion Ted to the menufactunng unit working at fuli baking capacity with ell ovens in constant use running round the clock shifts. Since then orders for the products shou that they are increasing in popularity and mansgement are concemed that they may need to outsource production sf some point in he near.oduce The ratio of sales of the products hss also changed oer the last few months and anslysis shows that for the last three monthS the products have sold in the ratio 2: 5: 3 (Midweek Brunch, Roast respectively). This has led to a requirement for up to date inforrmation on the three products. Required You have been asbed to provide the following: The break-even quantity of each product for one month and the total sales revenue if the breakeven quantities are produced and sold in thst month. (14 marks) b) The contrbution per limiting factor foreach of the products, dearty showing which oE the three products should be outsourced first if full capecity is exceeded. (7 marks) Outline tivo lirmitatiors of break-er analysis. ca marks) The table below contairs infommation relating to the products: Roast Midveek 3.50 Brunch 2.80 0.75 Average selling price per unit Direct Meteial; vegetables Direct Material, other ingredients Direct isteial; packaging Preparstion 5.00 0.50 027 0.38 0.63 0.30 1.54 0.69 0.86 0.40 0.72 0.20 Baking 0.50 0.25 1.00 Fbced overheeds for the factory that produces this range sre ušually £40.000 per month. Baking costs £2 per hour. Last January a netiomvide veganism promotion Ted to the menufactunng unit working at fuli baking capacity with ell ovens in constant use running round the clock shifts. Since then orders for the products shou that they are increasing in popularity and mansgement are concemed that they may need to outsource production sf some point in he near.oduce The ratio of sales of the products hss also changed oer the last few months and anslysis shows that for the last three monthS the products have sold in the ratio 2: 5: 3 (Midweek Brunch, Roast respectively). This has led to a requirement for up to date inforrmation on the three products. Required You have been asbed to provide the following: The break-even quantity of each product for one month and the total sales revenue if the breakeven quantities are produced and sold in thst month. (14 marks) b) The contrbution per limiting factor foreach of the products, dearty showing which oE the three products should be outsourced first if full capecity is exceeded. (7 marks) Outline tivo lirmitatiors of break-er analysis. ca marks)
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