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Question 1: CALCULUS manufactures and sells three types of functional calculators. The Total Fixed Cost in May is TL 4.600.000, and the annual capacity is
Question 1: "CALCULUS" manufactures and sells three types of functional calculators. The Total Fixed Cost in May is TL 4.600.000, and the annual capacity is 120.000 machine hours. The financial information about the calculators for May is as follows: Required (50 points): Ascertain the followings; a. Optimum product mix b. Breakeven Point in units at the optimum product mix c. Maximum profits Question 2: "BLUE" company wants to renew the machine it uses in production with a production machine with artificial intelligence. So, the company has searched for new production machine alternatives. As of May 2022, the information about the old machine and the new machine is as follows: While the normal annual production capacity is 1000 units, the annual production is 600 . The company estimates the new machine doesn't cause any change in production capacity and sales volume but provides cost savings. Considering existing costs, the company aims to increase operating profit. RED Co. offered 130 TL/unit selling price for 400 units. Required ( 50 points): According to the unit selling price is 150TL/unit, and the minimum expected to return for its investments is 10%; please ascertain the followings as Accounting Manager of BLUE CO. a. Profit Function and Break Even Point for both machines. b. Decide which and why the machine can be chosen. c. Evaluate the RED Co.'s order. Will you accept or reject the order? Explain why
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