155 Ltd by Bethany Abbott

Breakeven for 155 Lt

bethabbottt — 2015-04-17 08:21:48 UTC

This year the business is struggling to break even, therefore breakeven point may arise in the exam.

Formula: Fixed Costs / (Selling Price - Variable Costs)

Absenteeism

bethabbottt — 2015-04-17 08:26:31 UTC

Measures the proportion of time people are taken off from work

Formula: Number of days taken off / Total number of days

With 155 Ltd having health concerns, there will become a high rate of absenteeism and this will affect the production line.

Labour Productivity

bethabbottt — 2015-04-17 08:50:19 UTC

This measures how much each individual is producing.

Formula: Output per period / Number of employees.

This is particularly important for 155 Ltd as Alec believes that the production staff are idle due to waiting for resources. (This links to Critical Path Analysis)

Labour Productivity

bethabbottt — 2015-04-17 09:03:38 UTC

Sue's Proposal

bethabbottt — 2015-04-17 09:09:01 UTC

Move mass production and export to China. This is because of ongoing trends

Exchange Rates

bethabbottt — 2015-04-21 13:37:12 UTC

SPICED - Strong Pound Imports Cheap Exports Dearer

China currently have a weak Yuan, therefore the importing to China it would be notably cheaper in comparison to China having a strong Yuan.