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but also an MP3 player dock. Based on his experience with furniture, he believes the desk will be a popular item for four years, and
but also an MP3 player dock. Based on his experience with furniture, he believes the desk will be a popular item for four years, and then will be obsolete because technology will have changed again. factory. The FFM accountants have developed the following budget for the new executive desk: (Click to view the budget) losses with parentheses or a minus sign.) Data table Definition 1. Assume FFM expects to make and sel 18,400 units in the first 32 months (months 536 ) of production (575 units per month) and 4,000 units (250 per month) in the last 16 months (months 37 - 52) of production. If FF|N pri 2. Suppose FFM is wrong about the demand for these executive desks, and after the first 36 months it stops making them altogether. It sells. 18.400 desks for 3475 each with the costs described for months 536, and then incurs no add profitable venture for FFM? 3. Will your answer to Requirement 2 change if FFM still must incur the estimated fixed production costs for the whole period through month 52 , even if FFM slops making executive desks at the end of 36 months
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