Question 1. DynamicPhysical. DynamicPhysical (DP) has the same value proposition and business model as XtremePhysical in our earlier homework. Its process is also similar to XtremePhysical's, though some of its details and operational characteristics vary slightly. Currently DP is only seeing 25 clients per day. However, they could see more customers without needing to add resources. DynamicPhysical's employees are all salaried, making them essentially a fixed cost. That and their other fixed costs amortized over their 25 patients per day is $95 per patient. Their revenue per patient and cost of test materials per patient are the same as XtremePhysical's at \$200 and $20 per client. a. What is DynamicPhysical's operating leverage? b. If DynamicPhysical can somehow increase their sales by 5% through a marketing campaign, what will be their percentage increase in profit? (Hint: use the operating leverage from the prior problem.) c. How many clients does DynamicPhysical have to see each day to break even? Round up if needed. Question 2. The manager of Free Wolf's Burrito, Joe, thinks that he can improve the process at the serving counter by redesigning it so that the customer only has contact with one employee server. Process before redesign Process after redesion Which of the following statements below are true after the redesign? Answer true or false into the answer boxes. a. Free Wolf's process's capacity will increase. b. Chris can be sent home during off times. c. A particularly problematic customer will not keep all other customers from being served. d. Customers appreciate only having to deal with one employee. e. The total time the customer spends waiting for a burrito will likely increase. Question 1. DynamicPhysical. DynamicPhysical (DP) has the same value proposition and business model as XtremePhysical in our earlier homework. Its process is also similar to XtremePhysical's, though some of its details and operational characteristics vary slightly. Currently DP is only seeing 25 clients per day. However, they could see more customers without needing to add resources. DynamicPhysical's employees are all salaried, making them essentially a fixed cost. That and their other fixed costs amortized over their 25 patients per day is $95 per patient. Their revenue per patient and cost of test materials per patient are the same as XtremePhysical's at \$200 and $20 per client. a. What is DynamicPhysical's operating leverage? b. If DynamicPhysical can somehow increase their sales by 5% through a marketing campaign, what will be their percentage increase in profit? (Hint: use the operating leverage from the prior problem.) c. How many clients does DynamicPhysical have to see each day to break even? Round up if needed. Question 2. The manager of Free Wolf's Burrito, Joe, thinks that he can improve the process at the serving counter by redesigning it so that the customer only has contact with one employee server. Process before redesign Process after redesion Which of the following statements below are true after the redesign? Answer true or false into the answer boxes. a. Free Wolf's process's capacity will increase. b. Chris can be sent home during off times. c. A particularly problematic customer will not keep all other customers from being served. d. Customers appreciate only having to deal with one employee. e. The total time the customer spends waiting for a burrito will likely increase