Business 7115 · O Level · Costs, scale of production and break-even analysis

Costs, scale of production and break-even analysis — practice question

(a)[8]

Explain one advantage and one drawback to Yasin of using a break-even chart.

(b)[12]

Here are two ways MB could achieve lean production. Which one should Yasin select? Justify your answer. • Kaizen. • Just-in-time inventory control.

Worked solution & mark scheme

This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: Reveals break-even output - so Yasin can see how much bread he must sell to break even

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