business and traveling the world

Production and competitor IP 3 Production and Competition First scenario is centre Fixed bell is refer to $1M The hail Variable bell = $4.4M $4M for pay (50,000 workers x $80 per worker) accession $400,000 other variable inputs Actual Value Cost = $22 (TVC of $4.4M shared out by 200,000 units) Average Variable Cost is fit to $27 (TVC $4.4M + TFC $1M split by 200,000 units) Productivity = 4 (200,000 units that ar divided by 50,000 workers) The profit and liberation = $400K loss I calculated the total taxation of $200K times the $25 price which equals $5M subtracted the total hail of $5.4M. The next order fall Fixed Cost is equal to $3M The Total jimmy cost remained at $4.4M and the Actual Value Cost remained at $22 so Actual Total Cost is equal to $4.4MTotal respect Cost and $3M Total Fixed Cost is indeed divided by 200,000 units = $37 The worker competence remained at 4 so the profit and loss is equal to $2.4M which is a loss. Tot al cost of $7.4 M and the proceeds remained at $5M.

The shutdown loom for a company is that if the variable costs cannot be cover from the revenue received from a good or service, the manifestation must(prenominal) cease. For the first case, in order to break even, the employer needs to soil off 5,000 people which would leave 45,000 workers. The 400,000 loss is divided by the $80 per hour. Which would increase productivity when you divide the 200, 000 by 45,000 which equals by 4.4 instead of 4, an 11% increase and more likely to occur. In the second case, the employer should lay off 3,000 workers which would l eave 20,000 people. The $2,400,000 loss is d! ivided by the $80 per... If you want to get a to the fully essay, order it on our website: OrderCustomPaper.com

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