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Answer the Following Questions Using the Information Below

question 153

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Answer the following questions using the information below:
Following a strategy of product differentiation, Loftus Company makes a high-end Appliance, AP15. Loftus Company presents the following data for the years 2011 and 2012:
Answer the following questions using the information below: Following a strategy of product differentiation, Loftus Company makes a high-end Appliance, AP15. Loftus Company presents the following data for the years 2011 and 2012:    Loftus Company produces no defective units but it wants to reduce direct materials usage per unit of AP15 in 2012. Manufacturing conversion costs in each year depend on production capacity defined in terms of AP15 units that can be produced. Selling and customer-service costs depend on the number of customers that the customer and service functions are designed to support. Loftus Company has 46 customers in 2011 and 50 customers in 2012. The industry market size for high-end appliances increased 5% from 2011 to 2012. -What is the revenue effect of the growth component? A) $220,000 F B) $420,000 F C) $400,000 F D) $200,000 F Loftus Company produces no defective units but it wants to reduce direct materials usage per unit of AP15 in 2012. Manufacturing conversion costs in each year depend on production capacity defined in terms of AP15 units that can be produced. Selling and customer-service costs depend on the number of customers that the customer and service functions are designed to support. Loftus Company has 46 customers in 2011 and 50 customers in 2012. The industry market size for high-end appliances increased 5% from 2011 to 2012.
-What is the revenue effect of the growth component?

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Definitions:

Training Plan

A systematic approach outlining the objectives, methods, materials, and assessments used to guide the training process.

Training Materials

Resources prepared and used for the purpose of instructing and guiding the learning process during training sessions.

Instructional Design

The practice of creating educational and training programs in a consistent and reliable fashion to improve learning and performance.

Training Objectives

Specific goals that describe what learners should know or be able to do as a result of a training program.

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