question archive Assume that you and your brothers plan to open a business that will make and sell a newly designed type of sandal
Assume that you and your brothers plan to open a business that will make and sell a newly designed type of sandal
Subject:FinancePrice: Bought3
Assume that you and your brothers plan to open a business that will make and sell a newly designed type of sandal. Two robotic machines are available to make the sandals, Machine A and Machine B. The price of per pair sandal would be Rs.17 regardless of which machine is used. The fixed and variable cost associated with two machines are shown below. A. Calculate Breakeven Quantity of Machine A and Machine B? (3) B. Calculate Breakeven Sales of Machine A and Machine B? (3) C. If your company sells 10,000 pair of sandals. Calculate the target profit of Machine A and B? (4) D. Based on analysis which machine should be selected for sandal making? (2) Machine A Machine B Fixed costs total 25,000 100,000 Variable cost per unit 7 4
