Assume the demand for a company’s drug Wozac during the current year is 50,000, and assume demand will grow at 5% a year. If the company builds a plant that can produce x units of Wozac per year, it will cost $16x. Each unit of Wozac is sold for $3. Each unit of Wozac produced incurs a variable production cost of $0.20. It costs $0.40 per year to operate a unit of capacity. Determine how large a Wozac plant the company should build to maximize its expected profit over the next 10 years.

The fixed costs of Shanita, nv are $471,000 and the total variable costs for its only product are 30% of the sales price, which is $200. Shanita currently sells 5,400 units per month and is looking to sell more. Consider each of the following independently: Part A A new marketing campaign is being contemplated that would cost $4,000 per month and have the expected effect of increasing sales per month by 260 units. If this campaign is undertaken, what is the expected effect on monthly income? Part B Management is considering adding a new feature to its product that will cause an increase in variable costs of $7 per unit. It is expected that sales will increase by 310 units per month if this feature is added. If the feature is added, what should be the overall effect on the company's monthly income? Part C The marketing manager is considering lowering base salaries of salespeople by a collective amount of $41,000 per month while increasing the sales commission by $6 per unit. He believes…

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K Radovilsky Manufacturing Company, in Hayward, California, makes flashing lights for toys. The company operates its production facility 300 days per year. It has orders for about 12,400 flashing lights per year and has the capability of producing 95 per day. Setting up the light production costs $49. The cost of each light is $0.95. The holding cost is $0.15 per light per year. a) What is the optimal size of the production run? units (round your response to the nearest whole number).