Aarong pharma, a petrochemical company in India, generates pesticide that sells for $249 per kilolitre. The company’s capacity is 155 kilolitres a day as it operates six days a week, 24 hours a day.

The unit price for Boric Acid is $0.15 per liter. About 0.09 liter of Boric Acid is required for each liter of pesticide.

The fixed cost is $2800 a day and the average variable cost is $3.22 per kilolitre.

The management is considering Sunday operations as well. If the plant was to operate on Sunday, it is estimated that the variable cost of Sunday operation would be $35, and the total fixed cost per week would be increased by $560.

a) Evaluate the break-down volumes and the marginal contribution rates for

>Six-day operation
>Seven-day operation

b) What is the average total cost per kilolitre for six-day operation? Calculate the net profit margin per kilolitre before taxes.

c) Is it economical for this company to operate seven days a week?

Round your answers to two decimal places.