Question

Submit your Profit-Maximization Output Report and Calculations to the dropbox below. Submit a spreadsheet showing your calculations in Excel and provide a narrative analysis in Word. Your narrative analysis should summarize the results of your analysis and make recommendations for the benefit of the company.

Your CEO has also asked you to prepare a production cost budget for the MiniY for May 20X8. The actual costs in April 20X8 were as follows:

MiniY: Production Cost Budget
April 20X8
Production–Units of MiniY	3,000
Components cost (variable)	24,000,000
Labor cost (variable)	13,500,000
Rent (fixed)	6,000,000
Depreciation (fixed)	6,000,000
Other (fixed)	2,000,000
Total	$51,500,000

For the month of May, the number of MiniY produced will increase to 3,200, reflecting an anticipated sales increase related to a new marketing campaign.

Question 5: Using the above information, prepare a budget for MiniY for May 20X8, stating the total cost. Use a spreadsheet to display your data and calculations.

IPS operates a factory, which produces the MiniY and the MiniX. During September 20X8, the factory produced 3200 units of MiniY and 3000 units of MiniX. The joint cost related to the operation was $3,000,000. MiniX sells for $27,100 per unit and MiniY sells for $25,000 per unit. Allocate the joint costs using the relative sales values of MiniY and MiniX.

Question 6: With the costs that you calculate, what is the profit or loss associated with MiniY? NOTE:Assume that the variable and fixed costs mentioned in Question 5 are also applicable to Question 6 when calculating the profit or loss for MiniY. The costs for this question will be the total of the cost calculated in the above MiniY: Production Cost Budget plus the share of costs of the $3,000,000 (from the paragraph above) allocated to MiniY.

Please ADD the fixed and Variable costs from question 5 thats in the chart above!

Answer 1