A company produces plastic parts for automobiles.The manufacturing process for one part costs $28 per part for labor and material,plus $36,000 in fixed costs.Industry competition dictates that they can charge no more than $42 for this part.How much should they reduce the material and labor costs to satisfy a company policy of earning a profit after selling 2,000 units?

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The Answer of A company produces plastic parts for automobiles.The manufacturing process for one part costs $28 per part for labor and material,plus $36,000 in fixed costs.Industry competition dictates that they can charge no more than $42 for this part.How much should they reduce the material and labor costs to satisfy a company policy of earning a profit after selling 2,000 units?

A Company Produces Plastic Parts for Automobiles