Consider the original information in the Case Study, prior to process improvements, where the monthly demand is 2000 batches and the bottleneck is Operation 1. From a competitive perspective, DITE realizes that it has to improve Operation 2 to address the problem of lack of uniformity in surface coating. If it improves Operation 2 at a cost of $180,000, what is the monthly profit now assuming that the rectification cost of a defective item is $0.50 and it depreciates process improvement cost over 35 years?

Assume that the selling price is $13.25/unit. Is this a desirable situation?