How To Structure An Hl Business Management Internal Assessment

direct labour per unit $12 direct supplies per unit $18 variable overheads per unit $5 fixed prices $ selling price $forty five most capacity of the manufacturing unit is models. If a fi rm is producing beneath break-even point, it’s in danger. Hence, if break-even output is 400 and the fi rm is producing at 350 items, it has a margin of safety of –50 (see Figure 32.three).

an MP3 participant being tested on the finish of the manufacturing line for battery-charging functionality a phone-banking adviser having a name to a buyer listened to and recorded. In sure cases, a product must meet the highest quality requirements and the high value of it turns into almost insignificant. Internal components for a jet engine used on a passenger airplane will be anticipated to have a failure rate of lower than 1 in 1 million. However, if trend clothes was made to the same exacting standards with regards to stitching, buttons, zips and so forth – how a lot would a pair of jeans cost then?

2 Explain why you could have classified these prices in the best way you have. 4 Discuss the advantages and downsides to BMW of switching from flow production to cell manufacturing. 2 Analyse two disadvantages BMW may have encountered using flow manufacturing. THE AMOUNT OF CAPITAL AVAILABLE A function-constructed flow production line is difficult and expensive to construct.