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A clothing manufacturer has 100 m of silk and 180 m of wool. To make a suit requires 2m of silk and 3m of wool and to make a dress requires 1m of silk and 2m of wool. If the profit on a suit is $108 and the profit on a dress is $60, how many suits and dresses should the manufacturer make to maximize the profit?
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What is the break-even point in bags? Calculate the profit or loss on 12,000 bags and on 25,000 bags. What is the degree of operating leverage at 20,000 bags and at 25,000 bags? Why does the degree of operating leverage change as the quantity sold ..
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