Formula Inputs (Parameters, Asusmptions, Variables)

Gel Boomerangs Manufacture Boomerangs

Product Name Quad
Fixed Cost (FC) $ 17,430.00
Material Cost per unit (MC) $ 4.30
Assigned indirect cost per unit (IC) $ 1.15
Labor Cost per unit (LC) $ 4.17
Revenue R $ 16.50
% of boomerangs made that are defective
and cannot be sold 2%
Goal: Calculate total profit

Math Formula
Variable Cost per unit = VC=MC+IC+LC
Total Variable Cost = TV(q)=VC*q % of boomerangs
Total Cost = TC(q)=FC+TVC(q) made that are
defective and
Total Revenue = TR(q)-R*q(1-D) cannot be sold
Total Profit - TP(q)=TR(q)-TC(q)

Model: Calculate: Total Profit Based on Quantity

Production Volume = Units = Quantity=q 2000 Deccision Variable
Variable Cost Per Unit = VC = MC+IC+LC $9.62
Total Variable Cost = TC(q)=VC*q $19,240.00
Total Costs = TC(q)=FC+TV $36,670.00
Total Revenue = TR(q) = R*q*(1-D) $32,340.00
Total Profit = TP(q) = TC(q) - TR(q) -$4,330.00
 Total Profit -
TP(q)=TR(q)-TC(q)

Total Revenue = Total Cost =

TR(q)-R*q(1-D) TC(q)=FC+TVC(q)

% of boomerangs
made that are
defective and
cannot be sold Total Variable Cost
= TV(q)=VC*q

Revenue R

Production Volume
= Units =
Quantity=q

Material Cost per

unit (MC)
 fit -
R(q)-TC(q)

Total Cost =
TC(q)=FC+TVC(q)

Total Variable Cost

= TV(q)=VC*q Fixed Cost (FC)

Variable Cost per

unit =
VC=MC+IC+LC

al Cost per
C) Assigned indirect Labor Cost per unit
cost per unit (IC) (LC)
 Formula Inputs (Parameters, Asusmptions, Variables)
Gel Boomerangs Manufacture Boomerangs
Product Name Quad
Fixed Cost (FC) $ 17,430.00
Material Cost per unit (MC) $ 4.30
Assigned indirect cost per unit (IC) $ 1.15
Labor Cost per unit (LC) $ 4.17
Revenue R $ 16.50
% of boomerangs made that are defective
and cannot be sold 2%
Goal: Calculate total profit
Data Table Start Unit Value 0
Data Table Unit Increment Value 500

Math Formula
Variable Cost per unit = VC=MC+IC+LC
Total Variable Cost = TV(q)=VC*q
Total Cost = TC(q)=FC+TVC(q)
Total Revenue = TR(q)-R*q(1-D)
Total Profit - TP(q)=TR(q)-TC(q)
Unit Breakeven Point: FC/(R*(1-D)-VC)

Model: Calculate: Total Profit Based on Quantity Deccision Variable

Production Volume = Units = Quantity=q 2000
Variable Cost Per Unit = VC = MC+IC+LC $9.62
Total Variable Cost = TC(q)=VC*q $19,240.00
Total Costs = TC(q)=FC+TV $36,670.00
Total Revenue = TR(q) = R*q*(1-D) $32,340.00
Total Profit = TP(q) = TC(q) - TR(q) -$4,330.00
Unit Break Even Point: FC/(R*(1-D)-VC) 2,661

Total Revenue
Quantity $32,340.00
0
500
1000
1500
2000
2500
3000
3500
4000
4500
5000
5500
6000
6500
Quad
$ 17,430.00
$ 4.30
$ 1.15
$ 4.17
$ 18.71

2%
Calculate total profit

2000
$9.62
$19,240.00
$36,670.00
$36,670.00
$0.00

Total Cost Fixed Cost Total Profit

$36,670.00 $ 17,430.00 -$4,330.00
₱17,430.00 -₱17,430.00
₱17,430.00 -₱14,155.00
₱17,430.00 -₱10,880.00
₱17,430.00 -₱7,605.00
₱17,430.00 -₱4,330.00
₱17,430.00 -₱1,055.00
₱17,430.00 ₱2,220.00
₱17,430.00 ₱5,495.00
₱17,430.00 ₱8,770.00
₱17,430.00 ₱12,045.00
₱17,430.00 ₱15,320.00
₱17,430.00 ₱18,595.00
₱17,430.00 ₱21,870.00
₱17,430.00 ₱25,145.00
 Formula Inputs (Parameters, Asusmptions, Variables)
Gel Boomerangs Manufacture Boomerangs
Product Name Quad
Fixed Cost (FC) $ 17,430.00
Material Cost per unit (MC) $ 4.30
Assigned indirect cost per unit (IC) $ 1.15
Labor Cost per unit (LC) $ 4.17
Revenue R $ 16.50
% of boomerangs made that are defective
and cannot be sold 2%
Goal: Calculate total profit
Data Table Start Unit Value 0
Data Table Unit Increment Value 500

Math Formula
Variable Cost per unit = VC=MC+IC+LC
Total Variable Cost = TV(q)=VC*q
Total Cost = TC(q)=FC+TVC(q)
Total Revenue = TR(q)-R*q(1-D)
Total Profit - TP(q)=TR(q)-TC(q)
Unit Breakeven Point: FC/(R*(1-D)-VC)

Model: Calculate: Total Profit Based on Quantity Deccision Variable

Production Volume = Units = Quantity=q 2000
Variable Cost Per Unit = VC = MC+IC+LC $9.62
Total Variable Cost = TC(q)=VC*q $19,240.00
Total Costs = TC(q)=FC+TV $36,670.00
Total Revenue = TR(q) = R*q*(1-D) $32,340.00
Total Profit = TP(q) = TC(q) - TR(q) -$4,330.00
Unit Break Even Point: FC/(R*(1-D)-VC) 2,661

Total Revenue
Quantity $32,340.00
0 ₱0.00
500 ₱8,085.00
1000 ₱16,170.00
1500 ₱24,255.00
2000 ₱32,340.00
2500 ₱40,425.00
3000 ₱48,510.00
3500 ₱56,595.00
4000 ₱64,680.00
4500 ₱72,765.00
5000 ₱80,850.00
5500 ₱88,935.00
6000 ₱97,020.00
6500 ₱105,105.00

Boomerang Profit Table

₱120,000.00
₱100,000.00
₱80,000.00
₱60,000.00
₱40,000.00
₱20,000.00
₱0.00
0 1000 2000 3000 4000 5
-₱20,000.00
-₱40,000.00
Tota l Revenue Tota l Cost
Fi xed Cost Tota l Profit
Quad
$ 17,430.00
$ 4.30
$ 1.15
$ 4.17
$ 18.71

2%
Calculate total profit

2000
$9.62
$19,240.00
$36,670.00
$36,670.00
$0.00

Total Cost Fixed Cost Total Profit

$36,670.00 $ 17,430.00 -$4,330.00
₱17,430.00 ₱17,430.00 -₱17,430.00
₱22,240.00 ₱17,430.00 -₱14,155.00
₱27,050.00 ₱17,430.00 -₱10,880.00
₱31,860.00 ₱17,430.00 -₱7,605.00
₱36,670.00 ₱17,430.00 -₱4,330.00
₱41,480.00 ₱17,430.00 -₱1,055.00
₱46,290.00 ₱17,430.00 ₱2,220.00
₱51,100.00 ₱17,430.00 ₱5,495.00
₱55,910.00 ₱17,430.00 ₱8,770.00
₱60,720.00 ₱17,430.00 ₱12,045.00
₱65,530.00 ₱17,430.00 ₱15,320.00
₱70,340.00 ₱17,430.00 ₱18,595.00
 ₱75,150.00 ₱17,430.00 ₱21,870.00
₱79,960.00 ₱17,430.00 ₱25,145.00

Boomerang Profit Table

1000 2000 3000 4000 5000 6000 7000

Tota l Revenue Tota l Cost

Fi xed Cost Tota l Profit
 Formula Inputs (Parameters, Asusmptions, Variables)
Gel Boomerangs Manufacture Boomerangs
Product Name Quad
Fixed Cost (FC) $ 17,430.00
Material Cost per unit (MC) $ 4.30
Assigned indirect cost per unit (IC) $ 1.15
Labor Cost per unit (LC) $ 4.17
Revenue R $ 16.50
% of boomerangs made that are defective
and cannot be sold 2%
Goal: Calculate total profit

Math Formula
Variable Cost per unit = VC=MC+IC+LC
Total Variable Cost = TV(q)=VC*q
Total Cost = TC(q)=FC+TVC(q)
Total Revenue = TR(q)-R*q(1-D)
Total Profit - TP(q)=TR(q)-TC(q)

Model: Calculate: Total Profit Based on Quantity

Production Volume = Units = Quantity=q 2661.0687022901 Deccision Variable
Variable Cost Per Unit = VC = MC+IC+LC $9.62
Total Variable Cost = TC(q)=VC*q $25,599.48
Total Costs = TC(q)=FC+TV $43,029.48
Total Revenue = TR(q) = R*q*(1-D) $43,029.48
Total Profit = TP(q) = TC(q) - TR(q) $0.00
Manufacture Boomerangs
Quad
$ 17,430.00
$ 4.30
$ 1.15
$ 4.17
$ 18.71

2%
Calculate total profit

2000
$9.62
$19,240.00
$36,670.00
$36,670.00
$0.00
 Formula Inputs (Parameters, Asusmptions, Variables)
Gel Boomerangs Manufacture Boomerangs
Product Name Quad
Fixed Cost (FC) $ 17,430.00
Material Cost per unit (MC) $ 4.30
Assigned indirect cost per unit (IC) $ 1.15
Labor Cost per unit (LC) $ 4.17
Revenue R $ 16.50

% of boomerangs made that are defective and cannot be

sold 2%
Goal: Calculate total profit
Data Table Start Unit Value 0
Data Table Unit Increment Value 500
Deffect Start Unit Value 1%
Deffect Unit Increment Value 1%

Math Formula
Variable Cost per unit = VC=MC+IC+LC
Total Variable Cost = TV(q)=VC*q
Total Cost = TC(q)=FC+TVC(q)
Total Revenue = TR(q)-R*q(1-D)
Total Profit - TP(q)=TR(q)-TC(q)
Unit Breakeven Point: FC/(R*(1-D)-VC)

Model: Calculate: Total Profit Based on Quantity Deccision Variable

Production Volume = Units = Quantity=q 2000
Variable Cost Per Unit = VC = MC+IC+LC $9.62
Total Variable Cost = TC(q)=VC*q $19,240.00
Total Costs = TC(q)=FC+TV $36,670.00
Total Revenue = TR(q) = R*q*(1-D) $32,340.00
Total Profit = TP(q) = TC(q) - TR(q) -$4,330.00

Formula from the original model (q=2,000)===>>>> -$4,330.00

0
500
Production Volume = Units = Quantity=q

1000
1500
2000
2500
3000
3500
4000
4500
5000
5500
Production Volum
6000
6500

a
#VALUE!
% of Boomerang made that are defective and cannot be sold =D
1% 2.00% 3.00% 4.00% 5.00%
l e
2 3