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A producer of pottery is considering the addition of a new plant to absorb the backlog of demand that now exists. The primary location being
A producer of pottery is considering the addition of a new plant to absorb the backlog of demand that now exists. The primary location being considered will have fixed costs of $6,800 per month and variable cost of 49 cents per unit produced. Each item is sold to retailers at a price that averages 71 cents. (Round all answers to a whole number.) a. What volume per month is required in order to break even? Volume per month b. What profit would be realized on a monthly volume of 63,000 units? 74,000 units? 63,000 profits at volume of profits at volume of 74,000 c. What volume is needed to obtain a profit of $16,000 per month? Volume d. What volume is needed to provide a revenue of $25,000 per month? Volume
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