Hype Ltd produces four types of clothes with the use of a special machine. Each labor hour in the special machine costs £10. For the production of the four products the company has 6,800 special machine labor hours. There will be no shortage of any other factor of production. Costings and break-even quantities for the products are in the attached file:
REQUIRED:
• Calculate the volume of activity that the company will have to achieve in order to meet the targeted level of profit for each one of the four products.
• Calculate the optimal production each of for the four products by taking into account the available labor hours and the estimates of the marketing department.
• Propose ways that could help the company to solve the problem of special machine time shortage
Use the order calculator below and get started! Contact our live support team for any assistance or inquiry.
[order_calculator]