2184 BUSQOM 1070 SEC1030 OPERATIONS MANAGEMENT Homework: HW-CH11 Score: 0 of 1 p

Question

2184 BUSQOM 1070 SEC1030 OPERATIONS MANAGEMENT Homework: HW-CH11 Score: 0 of 1 pt Problem 11.2 Megan Shearson &1 3/18/18 7:17 PM Save 1 of 3 (0 com HY Score: 0%, 0 of 3 p Question Help Hau Lee Furniture, Inc., spends 50% of its sales dollars in the sup p y chain and finds its current profit of S42.000 nadequate. The bank s sisting on an improved profit picture prior to approval of a loan for some new equipment. Hau would like to improve the profit line to $47,000 so he can obtain the bank's approval for the loan. Sales Cost of material Production costs Fixed cost Profit Current Situation $140,000 $70,000 (50%) $21,000 (15%) $7,000 (5%) $42.000 (30%) a) What percentage improvement is needed in the supply chain strategy for profit to improve to $47,0007 What is the cost of material with a $47,000 profit? A decrease of % in material supp y chain costs is required to yeld a profit of $47,000, for a new mate decrease to one decimal place and enter your response for the new material cost as a whole number.) al cost of S Enter your response for the percentage

Explanation / Answer

New pofit 47000 Increase in Profit 5000 (47000-42000) Cost of material to be reduced 5000 New cost of material 65000 (70000-5000) % Decrease in cost of material 7.1% (5000*100/70000)

Related Questions

Navigate

• Browse (All)
• Browse 2
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.