Operations Management Key Issue

Cataldo Grilli Operations Management ID: 2012952494 Homework practice 3 turn over salad defile Salad Fixed cost ($) 12000 2400 Variable cost ($) 1,50 2,00 We dont hunch forward how a lot a single salad will be sold save we know the wrong will be the very(prenominal) for apiece options. BEP(1)= 12000 R 1,50 BEP(2)= 2400 R-2,00 The two BEP are the aforesaid(prenominal) for R= $ 2,125; indeed we can say that the BEP (2) quantity will be dismount than the first one for every R>2,125 . interchangeable we said the value will be the same independently from the choice of the managers: tho it must be higher than 2,00, differently in the BEP government issue 2 we could have denominator compeer to 0 or lower. Because the price to the customer is not specified, and its the same for each alter native, it can be useful to calculate the flush of indifference: heart costs(make option)= jibe costs(buy option) $12000+$1.50*q=$2400+$2.00*q ? q=19200 The manager expects to sell 25,000 salads per year so to choose the opera hat option we could meditate the total costs. TC(1)= $12000 + $1,5 * 25000 = $49500 TC(2)= $2499 + $2 * 25000 = $52400 If the manager wants to maximize the profit he/she needs to choose the first option. 2.

woof A: FC = $ 40000 VC = $10 R = $15 plectrum B: FC = $30000 VC = $12 ! R = $16 BEP(A) = 40000 = 8000 15-10 BEP(B) = 30000 = 7500 16-12 efflorescence of indifference TC(a)=TC(b) ? 40000+10q=30000+12q ? q=5000 If expected annual beg is 12000 units: Option A: 12000*(15-10) 40000 = $20000 Option B: 12000*(16-12) 30000 = $18000 3. BEP in multiproduct illustration : If the sales mix is 3:1, it means that for every favorable version sold, 3 gold version are sold. The total dollar sales is: $40*3+$120= $240. So we can...If you want to get a full essay, order it on our website: BestEssayCheap.com

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