Economy, asked by almamunbillah03, 2 months ago


A company has extra capacity that can be used to produce a sophisticated furnitures which it has been buying for $ 1800 each. If the company makes the furnitures, it will incur materials cost of $ 600 per unit, labour costs of $ 500 per unit, and variable overhead costs of $ 200 per unit. The annual fixed cost associated with the unused capacity is $ 20,00,000. Demand over the next year is estimated at 10,000 units. Would it be profitable for the company to make the furnitures?​

Answers

Answered by shreyash7121
3

my dear friend please thanks my 15 answers. ....

Attachments:
Similar questions