2. Mr. Ram continues: IGL has sufficient staff and installed capacity in plant to cope with increased
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2. Mr. Ram continues:
“IGL has sufficient staff and installed capacity in plant to cope with increased production and sales without any increase in the fixed assets or overheads.”
(a) What is the implication of this? In the light of this how do you interpret Exhibit 7 of the case?
(b) What will the benefits be of adding 2,000 cylinders?
(c) Which is the most preferred product in the light of present conditions?
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