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The Station, a boutique cookie company, needs to create a production process for its new cinnamon malt ball cookies. To help accomplish this, the company
The Station, a boutique cookie company, needs to create a production process for its new cinnamon malt ball cookies. To help accomplish this, the company has put together some numbers for production costs per dozen cookies for the variable costs
Process Type Fixed Costs Labor Costs Material Costs
PreBake $ $ $
Easy Bake $ $ $
Speed Bake $ $ $
The Station estimates demand for the semester will be dozen cinnamon malt ball cookies. Due to the cookies' expected popularity the selling price will be $ per dozen.
Based on the projected demand volume for the semester, which process type should they select?
Easy Bake
Speed Bake
PreBake
Under this process typethe one selected in the previous questionwhat would be their profits for the semester? Display your answer to the nearest whole number
What would be the breakeven point in unit volume or demand between the process option you selected above and the "Speed Bake" process option? Display your answer to the nearest whole number
Number
For a unit volume or demand level that is EXACTLY equal to the UNROUNDED breakeven point derived in the previous question what would be the total cost? Display your answer to the nearest whole number
HINT: When using the breakeven point derived in the previous question, be sure to NOT use it as a rounded number. Instead, be sure to include the exact breakeven point, including any digits after the decimal, in order to get the correct total cost. If necessary, use direct cell referencing to ensure the correct breakeven point is used.
Number
For a volume that is units greater than the breakeven point derived in the previous two questions which process option would be best?
Easy Bake
PreBake
Speed Bake
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