produce their hev next generation Corporation is plannin iPhone the said product will compete the product lines of Samsung, the management is hoping that it will further increase their revenue starting 2nd Quarter of 2018. roduct calle cot Below is the historical data of actual sales and forecast of iPhone last 2017: Forecast Sales in Million Actual sales in Million Month Units Units Jan 51 55.3 Feb 52 54.1 Mar 53 62.3 Apr 55 61.1 May 57 58.6 June 60 59.2 July 62 67.3 Aug 65 70.2 Sep 68 75.1 Oct 69 79.2 Nov 70 80.1 Dec 75 81.2 Solve the following questions: According to operations manager the bottleneck process is tester with weekly capacity of 120,500 units and it has machine inventory of 85 testers, how many additional testers are needed to support the startup of the new product? Per feedback from accounting department the fixed cost for investing the new product is 4,500,000andvariablecostof0.75 per unit and selling price of $5 per unit, how much quantity is needed to break-even, is the forecasted demand could help increase the revenue of Apple?

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Apple Corporation is planning to produce their new product called the next generation low cost
iPhone the said product will compete the product lines of Samsung, the management is hoping that
it will further increase their revenue starting 2nd Quarter of 2018.
Below is the historical data of actual sales and forecast of iPhone last 2017:
Forecast Sales in Million Actual sales in Million
Month
Units
Units
Jan
51
55.3
Feb
52
54.1
Mar
53
62.3
Apr
55
61.1
May
57
58.6
June
60
59.2
July
62
67.3
Aug
65
70.2
Sep
68
75.1
Oct
69
79.2
Nov
70
80.1
Dec
75
81.2
Solve the following questions:
According to operations manager the bottleneck process is tester with weekly capacity of 120,500
units and it has machine inventory of 85 testers, how many additional testers are needed to support
the startup of the new product?
Per feedback from accounting department the fixed cost for investing the new product
is 4,500,000andvariablecostof0.75 per unit and selling price of $5 per unit, how much quantity is
needed to break-even, is the forecasted demand could help increase the revenue of Apple?
Transcribed Image Text:Apple Corporation is planning to produce their new product called the next generation low cost iPhone the said product will compete the product lines of Samsung, the management is hoping that it will further increase their revenue starting 2nd Quarter of 2018. Below is the historical data of actual sales and forecast of iPhone last 2017: Forecast Sales in Million Actual sales in Million Month Units Units Jan 51 55.3 Feb 52 54.1 Mar 53 62.3 Apr 55 61.1 May 57 58.6 June 60 59.2 July 62 67.3 Aug 65 70.2 Sep 68 75.1 Oct 69 79.2 Nov 70 80.1 Dec 75 81.2 Solve the following questions: According to operations manager the bottleneck process is tester with weekly capacity of 120,500 units and it has machine inventory of 85 testers, how many additional testers are needed to support the startup of the new product? Per feedback from accounting department the fixed cost for investing the new product is 4,500,000andvariablecostof0.75 per unit and selling price of $5 per unit, how much quantity is needed to break-even, is the forecasted demand could help increase the revenue of Apple?
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