Doctor J.is considering purchasing a new blood analysis machine for $60,000.He estimates that he could charge $80.00 for an office visit to have a patient's blood analyzed,while the variable cost of a blood analysis would be $30.00. If this new blood analysis machine has design and effective capacities of 6,000 and 5,000 blood analyses per year,respectively,and Dr.J.expects to be 80% efficient in his use of this machine,how many blood analyses does he plan to perform each year?

Question

Quizplus · Accepted Answer

The effective capacity of the machine is 5,000 blood analyses per year. With an expected efficiency of 80%, the number of blood analyses Dr. J plans to perform each year is 5,000 * 0.80 = 4,000.

Doctor JIs Considering Purchasing a New Blood Analysis Machine for $60,000