Case Study: The Array Machine uncover even so summary Based on the current operation, the infirmary sends research laboratory be given to an off-site laboratory to perform autoimmunity adjudicates for immune globulins G, M, and A and complements C3 and C4. On average the hospital performs leaven of one of from each one of the five autoimmunity hears per day, for a wide-cut of five tests. The hospital pays the off-site laboratory $10 per test and charges patients $20 per test. The proposal notes that the hospital could keep these tests on-site and gain by the purchase of the soldiers railway car. The hospital would wear to pay well-nigh $2 per test for reagents. The hospital performs 1,560 tests per course. First, it is important to understand the slew Even compend on this purchase. The avocation shows the Break Even abbreviation figures ground on the equipments five-year life span and how many another(prenominal) autoimmunity tests per year that would hav e to be performed on the array machine to pass away even: R = Revenue P = Revenue current Per Unit Sold F = firm personifys S = Number of Units Sold V = changeable cost B = Break Even Number Units Sold T = congeries Costs Total Fixed Cost (T) = $50,000 Variable Cost Per Unit (V) = $2.00 - Reagent salutes Sales Price Per Unit (P) = $20.00 The next shows the Break Even Formulas for units sold and dollars.

Break Even verbalize Formula Units B = F / (P V) Break Even flowing of time (Units) B = $50,000 / (20-2) B = $50,000 / 18 B = 2777.7 or 2778 Units Break Even Point (Dollars) B = B (U nits) * PB = 2,778 * 20B = $55,555.5556 or $! 55,556. Based on the information presented above, the hospital get out have to perform 2,778 tests to reach the Break Even tot of $55,556. The traffic pattern uses the agree cost of the machine, the cost of the reagents and the total sales value of each test to calculate the breach even points. If the Break Even point were based on the total cost of the equipment figured over its life span, hence the total annual fixed cost would be $10,000 per year. This...If you fatality to get a full essay, order it on our website:
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