Case 10 - Word galdo gaspar GG a File Home Insert Draw Mailings Review View Help Tell me what you want to do Share Design Layout References Calibri (Body) - 11 | A Aav A A BIU.ale X, XA Aly A & cut - Copy Paste Format Painter Clipboard 5.3.3 * 41 14 AaBb CcDc AaBbCcDc AaBbcc Aabbcc AaB 1 Normal No Spac... Heading 1 Heading 2 Title Find ab Replace Select Font Paragraph Styles Editing Case 21 - DIVISION PERFORMANCE MEASUREMENT (20 pts) While muilling over his decision whether to introduce the new Panther model, Mr. Mackey was eating lunch with Ms. Warren. general manager on the Tucson Division which specializes in compact and subcompact cars. Mackey told Warren about the study he had ordered and gave a gcuial picture of the results. including the projection of 80,000 units of volune of the new model. After luch. Warren called Ms. Georgia. the chief of market research for the firm, and requested more information about the study. Georgia said that the study indicated a potcntiz dedine in volume of 30,000 units of one the Tucson Division's best-selling higher-priced model if Yuna brought out the new lower priced model. Waren asked way that information bad not been included in the report given to Mackey sud was told that Mackey had only asked for estimates in declines in volume of Yuna Division cars. Warren then immediately telephoned ber prochuction manager and sales manager. She informed then of the situation and demanded that they quickly collect information Several days later, the production manager informed Warren that the model in question, which sold to retail dealers for P16,700, had it costs of P16,40D at the division's current volume of 150,000 units per year. Fixer costs of P3.300 were included in the P16.400 Gylor. Waira asked wtest savings in fixed costs migld be expected il volume were to fall by 30.000 units and was told that the tixed cost per unit would rise to about P4.000, even though some fixed costs could be limitated. Conversations with our managers revealed that the division's investicut could be reduced by about P100 million it volume fell as stated Warren was visilly distressed by what she had heard. She was concaned with lar division's interests, but realized that Mackey had the right to operate in acordance with his best interests. She purdered the possibility of going to the company's executive vice president for advice. Required: 1. Determine the effect on Tucson Division of the introduction of the new Panther. 2. Detenuine the effect on the copy of the introduction of the new Panther 3. What recommendations will you otter if you are the consultant? Justify, Page 1 of 18 a works LE English (United Kingdom) + 90% W ENG UK 9:28 PM 10/31/2021 Case 10 - Word galdo gaspar GG a File Home Insert Draw Mailings Review View Help Tell me what you want to do Share Design Layout References Calibri (Body) - 11 | A Aav A A BIU.ale X, XA Aly A & cut - Copy Paste Format Painter Clipboard 5.3.3 * 41 14 AaBb CcDc AaBbCcDc AaBbcc Aabbcc AaB 1 Normal No Spac... Heading 1 Heading 2 Title Find ab Replace Select Font Paragraph Styles Editing Case 21 - DIVISION PERFORMANCE MEASUREMENT (20 pts) While muilling over his decision whether to introduce the new Panther model, Mr. Mackey was eating lunch with Ms. Warren. general manager on the Tucson Division which specializes in compact and subcompact cars. Mackey told Warren about the study he had ordered and gave a gcuial picture of the results. including the projection of 80,000 units of volune of the new model. After luch. Warren called Ms. Georgia. the chief of market research for the firm, and requested more information about the study. Georgia said that the study indicated a potcntiz dedine in volume of 30,000 units of one the Tucson Division's best-selling higher-priced model if Yuna brought out the new lower priced model. Waren asked way that information bad not been included in the report given to Mackey sud was told that Mackey had only asked for estimates in declines in volume of Yuna Division cars. Warren then immediately telephoned ber prochuction manager and sales manager. She informed then of the situation and demanded that they quickly collect information Several days later, the production manager informed Warren that the model in question, which sold to retail dealers for P16,700, had it costs of P16,40D at the division's current volume of 150,000 units per year. Fixer costs of P3.300 were included in the P16.400 Gylor. Waira asked wtest savings in fixed costs migld be expected il volume were to fall by 30.000 units and was told that the tixed cost per unit would rise to about P4.000, even though some fixed costs could be limitated. Conversations with our managers revealed that the division's investicut could be reduced by about P100 million it volume fell as stated Warren was visilly distressed by what she had heard. She was concaned with lar division's interests, but realized that Mackey had the right to operate in acordance with his best interests. She purdered the possibility of going to the company's executive vice president for advice. Required: 1. Determine the effect on Tucson Division of the introduction of the new Panther. 2. Detenuine the effect on the copy of the introduction of the new Panther 3. What recommendations will you otter if you are the consultant? Justify, Page 1 of 18 a works LE English (United Kingdom) + 90% W ENG UK 9:28 PM 10/31/2021