Q 1: Al Bawadir manufacturing LLC, who is a leading bottle manufacturing company in Muscat. Mr.Saud, who has recently joined as a production supervisor would like to calculate the total cost of producing 1000 bottles in a month. Records show that material cost of producing one bottle is RO 1.5 while labor cost per chair is RO 1 and other manufacturing cost is also RO 2.5 per unit. The company pays RO 1500 per month as a rent and Mr. Saud found that there are no other expenses a) Discuss what would be total cost if Al Bawadir produces 1500 bottles in a month. b) Why Rent should be considered in the total cost. Discuss with reasons

Linear Algebra: A Modern Introduction
4th Edition
ISBN:9781285463247
Author:David Poole
Publisher:David Poole
Chapter2: Systems Of Linear Equations
Section2.4: Applications
Problem 26EQ
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Q 1: Al Bawadir manufacturing LLC, who
is a leading bottle manufacturing company
in Muscat. Mr.Saud, who has recently
joined as a production supervisor would
like to calculate the total cost of producing
1000 bottles in a month. Records show that
material cost of producing one bottle is RO
1.5 while labor cost per chair is RO 1 and
other manufacturing cost is also RO 2.5 per
unit. The company pays RÕ 1500 per
month as a rent and Mr. Saud found that
there are no other expenses
a) Discuss what would be total cost if
Al Bawadir produces 1500 bottles
in a month.
b) Why Rent should be considered in
the total cost. Discuss with reasons
Transcribed Image Text:Q 1: Al Bawadir manufacturing LLC, who is a leading bottle manufacturing company in Muscat. Mr.Saud, who has recently joined as a production supervisor would like to calculate the total cost of producing 1000 bottles in a month. Records show that material cost of producing one bottle is RO 1.5 while labor cost per chair is RO 1 and other manufacturing cost is also RO 2.5 per unit. The company pays RÕ 1500 per month as a rent and Mr. Saud found that there are no other expenses a) Discuss what would be total cost if Al Bawadir produces 1500 bottles in a month. b) Why Rent should be considered in the total cost. Discuss with reasons
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