"> (Solution) -BUSI620 Tetrangle Manufacturing has fixed costs of $2,160 per day. The firm manufactures bicycle component upgrade kits. Paper Detail – Transwriters

(Solution) -BUSI620 Tetrangle Manufacturing has fixed costs of $2,160 per day. The firm manufactures bicycle component upgrade kits.


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BUSI620

 

Tetrangle Manufacturing has fixed costs of $2,160 per day. The firm manufactures bicycle component upgrade kits. The kits have a short-run average variable cost of $48 and are sold for $66 each.

 

What is the breakeven level of daily output for the firm? What is the degree of operating leverage when daily output is Q = 170?

 

As an employer wants to reduce the production cost during the economic recession, he/she could choose to (1) lay off some workers without changing wages or (2) keep all workers but cut wages for all. Which method would you choose? Why?

 

Also please have references

 


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(Solution) -BUSI620 Tetrangle Manufacturing has fixed costs of $2,160 per day. The firm manufactures bicycle component upgrade kits..zip

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This paper was answered on 10-Jan-2018

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