The Design Engineer's Preliminary Estimate of a Product's Design,production,and Distribution

question 22

Multiple Choice

The design engineer's preliminary estimate of a product's design,production,and distribution costs is $1,550 per unit.Market research shows potential customers are willing to pay up to $1,989 for the product.If the desired profit is 40 percent of target cost,should the company make the product?

• A)No,the market price only allows for a 28% profit at this cost.
• B)Yes,with only slight modifications to cost.
• C)Yes,the desired costs and profit are right on target.
• D)Yes,the market price will allow for a profit that exceeds the target.

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Definitions:

Rate

A measure of how fast or slow a chemical reaction occurs.

Dehydration

The chemical process by which a molecule of water is removed from the reactants to form the product.

Sulfuric Acid

A highly corrosive strong mineral acid with the molecular formula H2SO4, widely used in industry and manufacturing.

Carbanion

A negatively charged ion (anion) of carbon that carries a lone pair of electrons, making it extremely reactive in organic reactions.