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An electronics firm is currently manufacturing an item that has a variable cost of $.50 per unit and a selling price of $1.00 per unit. Fixed costs are $14,000. Current volume is 30,000 units. The firm can substantially improve the product quality by adding a new piece of equipment at an additional fixed cost of $6,000.
Variable cost would increase to $.60, but volume should jump to 50,000 units due to a higher-quality product. Should the company buy the new equipment?
The process involved in converting inputs into outputs. This stage is important, as it is the stage where value can be added to the inputs and productivity gains made due to efficiency in the processes and procedures undertaken.
There are 8 dimensions of effective Microsystems. Which two (2) do you believe are the most important and why? Please provide examples to illustrate your position. Don't forget to cite sources to support your position. APA format.
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