What is the plant best operating level

Assignment Help Operation Management
Reference no: EM132280638

A local assembly operation for a consumer appliance manufacturer has fixed costs of $5000 a day. Variable costs are about $1 per unit for materials and $3.50 per unit for labor on the first production shift. Given the shift differential (due to increased pay on the second and third shifts), increased costs of supervision, and other variable overhead costs, managers estimate the marginal cost per unit (excluding materials) to be $5.00 on the second shift and $7.25 on the third shift. The plant can produce up to 2000 units per shift. Use a spreadsheet (like the one below) to put together a worksheet. What is the plant's best operating level? How many units must be assembled before the operation makes a profit? At what volume is the plant's total profit maximized?

Reference no: EM132280638

Review of a journal article about product design

Write a 2 to 3 page review of a journal article about product design and development. Find and discuss contradictions, disagreements, agreements, and/or support for the vie

Supply chain strategy is aligned with the overall mission

Choose a company research and explain how the supply chain strategy is aligned with the overall mission statement and organizational objectives. Describe the organization’s mi

Organizational performance at montefiore be measured

In the case studey Montefiore Medical Center’s 2009–2010 How will the organizational performance at Montefiore be measured? Why don’t all HCOs have strategic goals like Montef

What is the assembly-line efficiency

An assembly line with 30 activities is to be balanced. The total amount of time to complete all 30 activities is 42 minutes. The longest activity takes 2.4 minutes and the sho

Compute the annual turns

Your company has an average annual inventory of $70 million. Its annual cost of goods sold (COGS) is $560 million. Order costs are $195 per order, and inventory carrying costs

Biologist-anthropologist and life

Word bank: anthropology, triangle, crowds, population, polyglot, man, polygon, anthropoid, autocracy, port, anarchy, illegal, contrary, decimal, decametre, bipedal, century, b

What should be initial bargaining position of school board

The annual contract negotiations between the Pleasant Ridge Board of Education and the Pleasant Ridge Classroom Teachers Association (PRCTA) are due to begin July 1, one week

Describe the performance-expectations gap

What was the public issue facing The Coca-Cola Company (TCCC) in this case? Describe the "performance- expectations gap" found in the case - what were the stakeholders' concer

Reviews

Write a Review

 
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd