Variables

Production Quantity 200 pieces

Unit Sales Price $ 4.00

Parameters
Daily Rent Expense $ 1,000
Number of Machines 20 machines
Fixed Cost of Running a Machine $ 100
Daily Capacity of a Machine 200 pieces
Unit Cost of a Product $ 1.50
Price of a Product Sale $ 4.00
Profit Per Product $ 2.50

Solution Algorithm # The unit cost Total cost

Product 200 adet $ 1.50 $ 300.00
Machine 1 $ 100.00 $ 100.00
Workplace 1 $ 1,000.00 $ 1,000.00
TOTAL COST $ 1,400.00
TOTAL INCOME $ 800.00
NET PROFIT $ -600.00

$ 3.00 $ 3.20
200 pieces
250 pieces
300 pieces
350 pieces
400 pieces
450 pieces
500 pieces
Production Quantity

550 pieces
600 pieces
650 pieces
700 pieces
750 pieces
800 pieces
850 pieces
900 pieces
950 pieces
1,000 pieces
1,050 pieces
1,100 pieces
 There are 20 machines in a workplace. The daily rent of this establishment is
1,000 USD and the total number of machines in the establishment is 20. The
daily production capacity of the machines is 200 products and there is a
fixed cost of 100 dollar for the operation of each machine. In other words, a
person who wants to produce between 1 and 200 products has to run 1
machine and has to bear 100-dollar fixed cost to operate. For the 201st
product, the second machine must be operated and a fixed cost of 100
dollar is required. Cost of a product and revenue per product are given on
the table.

According to this:
1. Break-even Analysis: How many products does the company need to
produce to make a profit?
2. What-if Analysis: Please fill in the table below. If the unit sales price and
production quantity change at the same time, show the net profit in the
table.

Unit Price
$ 3.40 $ 3.60 $ 3.80 $ 4.00 $ 4.20 $ 4.40 $ 4.60 $ 4.80 $ 5.00