The other is from Bombardier. They want a 3 month contract at $45 per widget with 8000 per month. Can we handle that volume?" Well we currently operate 6 shifts a month with each shift making 1000 units. This has been very consistent for the last few years with our existing clients." Wei answered. We could add two more shifts at the same price without any problem, but that would be about it. Do you have our financial information handy?" $50 Widget Breakdown last 3 years 6000 Units per month Selling Price: Fixed Costs (rent, equipment, overhead admin) Variable Costs (labour, raw material) Total Cost: Profit $18 $24. $42 $8 "These are consistent orders we have been getting from 10 clients we work with in the area." James said. "Well. we aren't in the business of losing money, but what do you think we should do? 1) Does the govemment contract have any benefit to WestCan? What are the numbers? 2) What are the advantages / disadvantages of working with a large company such as Bombardier? 3) Which decision would you make for the business regarding Bombardier? What are the numbers? 6000 units at $50 8000 units at $45 The other is from Bombardier. They want a 3 month contract at $45 per widget with 8000 per month. Can we handle that volume?" Well we currently operate 6 shifts a month with each shift making 1000 units. This has been very consistent for the last few years with our existing clients." Wei answered. We could add two more shifts at the same price without any problem, but that would be about it. Do you have our financial information handy?" $50 Widget Breakdown last 3 years 6000 Units per month Selling Price: Fixed Costs (rent, equipment, overhead admin) Variable Costs (labour, raw material) Total Cost: Profit $18 $24. $42 $8 "These are consistent orders we have been getting from 10 clients we work with in the area." James said. "Well. we aren't in the business of losing money, but what do you think we should do? 1) Does the govemment contract have any benefit to WestCan? What are the numbers? 2) What are the advantages / disadvantages of working with a large company such as Bombardier? 3) Which decision would you make for the business regarding Bombardier? What are the numbers? 6000 units at $50 8000 units at $45