Question

13 You are considering investing in a mass assembly production line. The fixed costs for the production line equipment with instulation is $3 million. Each unit of product sells for $20 and has a $5 per unit variable cost. Labor, materials, and energy costs are factored into the variable costs. Expected demand is 300,000 3 units. What is the break-even units? 4 Fixed Costs (S): 5 Unit Cost (S): 6 Variable Cost (S) Break-Even Units per unit per unit You are considering investing in a new line of drones for product delivery. The fixed costs for the new production line is $1.2 million. Each unit of product sells for $2000 and has a $85 per unit variable cost. Labor, materials, and energy costs are factored into the variable costs. Expected demand is 8,000 units. 12 What is the break-even units? 13 Fixed Costs (S): 14 Unit Cost (S) 15 Variable Cost ($) 16 17 Break-Even Units: per unit per unit 19 sac unit of product sells for $12,500 and has a $65 per unit variable cost. Labor, materials, and energy costs 21 are factored into the variable costs. What is the break-even units? 22 Fixed Costs (S): Break-Even Units: 23 Unit Cost (S 24 Variable Cost ($) 25 per unit per unit 27 28 You are. The fixed costs for the new production line is $85,000. Each unit of product sells for $1 500 and has a $5 per unit variable cost. Labor, materials, and energy costs are factored into the varia 30 What is the break-even units? 31 32 Fixed Costs (SH 33 Unit Cost (S): 34 Variable Cost (S) Break-Even Units: per unit per unit 16 MGT 303G Fall 2018

Answer 1