asic Modern Road Bike Component Identification Guide 1. Brake Levers (CHINA)1.50 2. Cassette (CHINA) 3.50 3. Chain (CHINA) 2.25 4. Chain Stays (CHINA)2.50 5. Chainrings (CHINA) 3.50 6. Crank arm (CHINA) 0.75 7. Down tube (HAITI) 2.34 8. Fork (CHINA) 1.90 9. Front brake calipers (PRC TAIWAN) 3.00 10. Front derailleur (THAILAND) 3.00 11. Front hub (CHILE) 2.25 12. Front quick-release skewer (CHINA)1.50 13. Front tire (CHINA)1.90 14. Front wheel (CHINA) 3.25 15. Handlebars (CHINA) 5.50 16. Head tube (KOREA) 2.25 17. Headset (INDIA) 2.50 18. Headset top cap & bolt (INDIA) 0.50 19. Headset spacers (CHINA) 5.00 20. Inner tube valve (SPAIN) 2.00 21. Pedals (USA) 10.00 22. Rear brake calipers (CHILE) 5.40 23. Rear derailleur (CHINA) 3.75 24. Rear hub (COSTA RICA) 2.25 25. Rear quick-release skewer (PERU) 5.50 26. Rear tire (CHINA) 2.80 27. Rear wheel (CHINA) 1.90 28. Removable face plate (KOREA) 2.25 29. Saddle (CHINA) 2.50 30. Seat collar (JORDAN/ISRAEL [Trade Zone]) 0.80 31. Seat post (CANADA) 0.95 32. Seat stays (CHINA) 0.50 33. Seat tube (CHINA) 1.50 34. Spokes (USA) 3.25 35. Stem (CANADA) 2.25 36. STI/Ergo shift levers (CANADA) 3.10 37. Top tube (USA) 4.00 38. Water bottle bosses (CANADA) 0.40

1) You need to produce 300 units of the bike. 2) For Production, you need 10 men on the assembly line. Each making $26/hr. 3) You will need 10 production days to produce this item. (30 bikes per day). 4) You have all the manufacturing machines and tools. 5) Rent for the plant cost $3200/month. Utilities are included (heat, water, gas, internet) 6) Cardboard box and foam for each unit cost 0.95$ i) A distributor in Austin, Texas(USA) named Bikes'R'Us has sent you a PO for 10 units. You quote him at factory price. What is the total amount that you will be making after you convert from USD to CAD? Assume Shipping will be $560 for one pallet FTL from:

Toronto, Ontario to Austin, Texas.