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Harman [31]
3 years ago
7

Current Forecast is 2500 units, current 1st shift capacity is 1300 units. Market growth rate is 10%. How much capacity do you ne

ed to buy for next round (answer rounded up to next 50 units)
Business
1 answer:
Afina-wow [57]3 years ago
3 0

Answer:

250 units

Explanation:

Calculation to determine How much capacity do you need to buy for next round

Using this formula

Next round capacity needed=Current Forecast*Market growth rate

Let plug in the formula

Next round capacity needed=2500 units*10%

Next round capacity needed=250 units

Therefore How much capacity do you need to buy for next round is 250 units

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Answer:

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The computation of the year 4 cash flow is given below:

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