Ask Experts Questions for FREE Help !
Ask
    emmycool's Avatar
    emmycool Posts: 1, Reputation: 1
    New Member
    		  
    #1

    Jun 3, 2010, 10:07 AM
    How can production affect profitability
    If a company is producing a product in large quantity.will the product have any effect on the profit of the company.
    excon's Avatar
    excon Posts: 21,482, Reputation: 2992
    Uber Member
    		  
    #2

    Jun 3, 2010, 10:18 AM
    Quote Originally Posted by emmycool View Post
    If a company is producing a product in large quantity.will the product have any effect on the profit ofthe company.
    Hello e:

    Sure. If the product sucks, it doesn't matter how many are produced, nobody will buy it, and profit will shrink. Even if the product doesn't suck, if it costs more to produce than it can be sold for, profits will shrink.

    excon
    NeedKarma's Avatar
    NeedKarma Posts: 10,635, Reputation: 1706
    Uber Member
    		  
    #3

    Jun 3, 2010, 10:21 AM
    If it costs more to make the product than the profit made per product then you have a problem.
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Profitability and liquidity [ 1 Answers ]

Explain briefly how a business could be profitable yet encountering a liquidity problem.

View more questions Search