Golden Chicken

To solve the different scenarios for the flourishing Chicken Company we moldiness under stomach first what is the underway hit and operations of the company, and to converge this we guess the structure of the peeled profits that is as follows: bring forward=Revenue-Cost Revenues: The current flow of revenues derives from the sell of orchis to the wholesalers Existing charter is Q= m units/day, and the current price is $6/case From this we invite the next revenue: Revenue(R)=Price(P) * Quantity(Q) R=$6*1,000= $6,000.00 Costs: The be that Golden chicken company has are related to transfer of training and unsanded stuff and nonsenses. Raw materials: the make up per case up to 1,000 is $3.00 and as this point, want is fixed, we will not incur in additional costs to bring eggs from outside suppliers. RMc= 1000 * $3.00 = $3,000.00 revelation: An apprehension with a transportation company allows us to distribute our products, we understructure transport up to 50 cases per transport at a cost of $50.00 per route. To transport the 1,000 eggs that we clear as current engage we will require 1,000 units/ 50 units/truck = 20 trucks Trc= 20 * $50.00 = $1,000.00 We father the total cost by adding the Raw material and transportation cost and we obtain: TC= $3,000.00 + $1,000.00 = $4,000.00 Profit: The initial profit is: P=R-C = $6,000.00 - $4,000.00 = $2,000.00 movement A The wholesale price of a case of eggs increase to $6.60 To evaluate this scenario we have the current profit to evaluate the new break even point, and the profit to compare is: P1= $2,000.00 For this scenario we stand a decrease in the demand as the price increases by 10%, therefore we would expect no command to buy additional eggs. Therefore we bet the new measuring to be sold to obtain P1 P1= (Price*Quantity) - Transport cost new raw material cost new $2,000 .00 = $6.6 * Qn (Qn/50)*$50 Qn *$3.00 $2,000.00 = $6.6Qn Qn - $3 Qn ! $2,000.00 = $2.6 Qn Qn = 770.00...If you want to get a full essay, coif it on our website: BestEssayCheap.com

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