For Two Years, Richard Elkins Has Been the Manager of the Production

question 62

Essay

For two years, Richard Elkins has been the manager of the production department of a company manufacturing toys made of plastic-coated cardboard. One of the toys is a paper doll, whose "clothes" are made of acetate, and stay on the doll with static electricity. The company's sales were mainly to large educational institutions until last year, when the dolls were sold for the first time to a large discount retailer. The dolls were sold out immediately, and enough orders were received to keep the department at full capacity for the immediate future.
The fixed costs for the department are $50,000, with $1 per unit variable costs. A paper doll and one set of clothes sell for $3. The maximum volume is 80,000 units. With the increased volume, Mr. Elkins is considering two options to improve profitability. One would reduce variable costs to $0.75, and the other would reduce fixed costs to $35,000.
Required:
Given the fact that sales are increasing, make a short (one paragraph) recommendation to Mr. Elkins about which option he should choose. Support your recommendation with a calculation showing him how profitability will change with each option.

Identify and assess patient reactions to intravenous infusions and interventions needed.

Demonstrate proper technique and pre/post precautions in IV therapy, including needle withdrawal and safety measures.

Understand and apply knowledge of blood type compatibility in transfusions.

Identify correct procedures for vein selection and preparation for IV placement.

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Definitions:

General Adaptation Syndrome

A three-stage theory proposed by Hans Selye describing the physiological changes the body goes through in response to long-term stress.

Stages

Stages refer to distinct phases or periods in a process of development or series of events, often implying a sequence of changes.

Parasympathetic Nervous System

Part of the autonomic nervous system responsible for conserving energy and slowing down the body's responses, often termed the "rest and digest" system.

Physiological Reaction

A bodily response to an external stimulus, involving changes in tissue function, organ function, or biochemical levels.