Professional Documents
Culture Documents
Guide Questions To Case#1 - Nipponply
Guide Questions To Case#1 - Nipponply
Assignment Questions
2. Find the break-even point. Can Nipponply achieve the break-even point with a 65
percent level of capacity utilization?
3. How many units need to be sold to earn a target income of Rupee 3 million per year?
4. How does the volume affect the return on equity and return on investment?
Nipponply is planning to use the capacity at a level of 85 percent and 100 percent in
years two and three, respectively. How does this decision affect the return on
investment and return on equity?