a) We sold 70 Units, so 70 * 72$(Sale Prize) = 5040$ So our income for 70 Units is 5040$
b) 30% of 430 Max Capacity = 430 / 100 *30 = 129 Units
First we get our income (like "a"): 129 * 72$(Sale Prize) = 9288$
Second we need our production costs for 129 Units: $35 + 10$ = "45$ production costs per unit"
129 * 45$ = 5805$ Production costs for 129 Units
Next Fixed Costs for the whole Production + Production Costs for 129 Units
4800$ + 5802$ = 10605$
So the profit / loss for selling and production of 129 Unit (30%) is = 9288$ Income - 10605$ Production Costs
= -1317$ Loss
C) Net Income assuming total sales of $23,400
First Income divided with sale prize for one unit
23400$ / 72$ = 325 Units
This means we sold 325 Units to get an income of 23400$ now we need the NET Income for 325 Units:
325 * 45$ (production costs per unit) = 14625$ + Fixed Costs 4800$ = 19425$ Costs for the Whole Production
So the Net Income is: 23400$ - 19425$ = 3975$ NET INCOME
d) we need to achieve a Net Income of 5000$
First we need the net income for one unit without the fixed costs:
72$(sale prize) - 45$(production costs per unit) = 27$
Now we can say :
x*27 - 4800 = 5000 |+4800
x*27 = 9800 | /27
x = 362,96... ~ 363 Units
So we need at least 363 Units to achieve a Net Income of 5000$, because: 363 Units * 27$ (72$-45$) = 9801$ - Fixed Costs(4800$) = 5001$ Net Income!! |