The deli at a Metro Supermarket experiences constant and continuous demand. Staffing is a problem for store managers but several of the employees suggested they buy more deli cutting machines and weighing scales and place them side-by-side. Currently, three slicing machines and two weighing scales are randomly scattered behind the counter. The deli is a job shop with demanding requirements such as what weight of product the customer wants, how thick or thin to slick the cheese and meat, how the customer wants it wrapped and packaged, and so on. Customer priority is determined by selecting a number to determine your turn for service. The employees are constantly retracing their steps and they go to cold food storage lockers and display cases and walk between different slicing and weighing equipment. They also have back room work task to perform in stocking shelves and cold storage lockers and cleaning equipment and floors. Customers can “see” the deli so it must be clean! Employee turnover is high in this demanding job shop work environment. The fixed cost includes three parts. First, the fixed costs associated with buying three more slicing machines and four more weighing scales is $11,000.  The current fixed cost of existing equipment is $7,000. The supermarket accounting department also sets the fixed cost of the building deli area and cold storage lockers at a $36,000. The predicted variable cost of the produce plus operating six slicing machines and six scales including labor costs is $18.15 per customer order. The average deli order costs the customer $19.65. Use the Excel template Break-Even in MindTap to answer the following questions:

a. What is the break-even quantity in customer orders per year?

b. How many orders does the deli fill per day at the break-even quantity if the supermarket is open 360 days a year?

c. What type of process is the deli shop within the supermarket? Explain. Justify.
d. If demand was 52,000 orders filled by the deli last year, how much money did the deli contribute to profits for the supermarket?

e. If you were store manager, would you add the extra machines? Would you raise deli prices?