Instructions:

BUSI 3321 – OPERATIONS MANAGEMENT SPRING 2020 – IN-CLASS ASSIGNMENT/ CH 5 NAME ID 1. Doctor J. is considering purchasing a new blood analysis machine to test for leukemia; it will cost $60,000. He estimates that he could charge $25.00 for an office visit to have a patient’s blood analyzed, while the actual cost of a blood analysis would be $5.00. a. What would be his profit if he were to perform 5.000 leukemia blood analyses? b. What is the breakeven point? c. What should the retail price be if targeting a profit of $6,000 and quantity of 4000 leukemia blood analyses? d. What would the profit be for a quantity of 8500 leukemia blood analyses? e. What is the breakeven quantity if a profit of $10,000 is targeted?

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