Cost Per Unit [Any help is appreciated]?

I need to find the cost per unit (profit per car) – I need some serious help!

I did all the work, I just don’t know how to answer the cost-per-unit question concerning profit per car.

4. Assume the same 10 year life expectancy, using the previous case, justify the purchase using the Cost-per-Unit method. (Show your work) Use profit per car.

Bud Ray is the owner of an automatic car wash located in a busy side of town. He currently has all the business he can handle and then some. His business has grown steadily over the years. His current car wash equipment is in need of a complete overhaul. Jim Dandy is a sales rep. for Magic Wash and sells equipment for rebuilding car wash systems or new start up car wash systems. Jim however would rather sell the new system as he knows there will be less problems in the future since there would be no make-shift conversions to adapt to his current system. The cost difference is substantial. In order to rebuild Bud’s current system, it will cost 4,000.00. To purchase a new Magic Wash Sparkle II system, the cost is 0,000.00. The rebuilt system would have the capacity to wash 40 cars per day at .95 per car. In addition, it will cost $.48 per car in detergent and rinsing agents. The new Magic Wash Sparkle II would have a capacity of 60 cars per day, and the detergent and rinsing agents would only cost $.23 per car because of the special “soap saver” feature. This feature is only available on the new system. Both systems have an expected 10 year life span. The car wash operates 200 days per year.

1.For the expected life expectancy of the Magic Wash Sparkle II, how would you justify the purchase using the “Price Vs Cost” method? (Show your work) Use profit for each.

The Magic Wash Sparkle II costs 0,000. It can handle 60 cars per day @ .95. Thanks to the special “soap saver,” the cost of detergent and rinsing agents is only $.23 per car.

.95 – $.23 (cost of soap to car wash)

From this we can assume the real profit per car is .72.
.95 – $.23 (cost of soap to car wash)

Since the car wash can handle 60 washes per day, assuming there are a total of 60 washes, the profit per day will be the total number of car washes times the profit per car.

.72 x 60 = 3.2

If the car wash operates at 200 days per year, we need to find the total profit. If one day yields 3.20 we just multiply by 200 to find the total profit.
3.20 x 200 days = ,640/year(200 days).

Then, backed by the 10 year life expectancy warranty. We take the profit per year of the Magic Wash II by 10 years.

,640 x 10 = 6,400

The profit is 6,400. The initial cost was 0,000.

Subtract both to find price vs cost.

6,400 – 0,000 = 6,400

**************************************…

The rebuilt system costs 4,000. It can handle 40 cars per day @ .95. Yet, the cost is $.48 per car from the soaps and detergents.

From this we can assume the real profit per car is .47.
.95 – $.23 (cost of soap to car wash)

Since the car wash can handle 40 washes per day, assuming there are a total of 40 washes, the profit per day will be the total number of car washes times the profit per car.

.47 x 40 = 8.80

If the car wash operates at 200 days per year, we need to find the total profit. If one day yields 8.80 we just multiply by 200 to find the total profit.
8.80 x 200 days = ,760/year(200 days).

Then, backed by the 10 year life expectancy warranty. We take the profit per year of the Magic Wash II by 10 years.

,760 x 10 = 7,600.

The profit is 7,600. The initial cost was 4,000.
Subtract to find price vs cost.
7,600 – 4,000 = 3,600


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For a fantasy story, does this sound like a good ‘concept’ of magic?

The world it’s set in is almost exactly like the America in the early 1930s, but with a few major differences. One of these is that ‘magic’ exists. Okay, so it’s nothing like the magic you’re used to in fantasy. In order to gain any sort of supernatural power, a person (It could be a person of any age, but there’s a higher chance of survival the younger you are) goes to a priest who performs certain complicated rituals, and subsequently throws the power-seeker into a fire. You see, to gain magic in this world you have to make a sacrifice to gain the power. For example, the fire would entirely burn off a person’s legs but leave the rest of their body unharmed, and after a while the person would discover and begin to train their new self-levitation ability. Make sense? How this magic system works:

<> Person willingly sacrifices part of their body to gain powers.
<> It isn’t always a body part- sometimes a person could lose their sight or hearing or their ability to see beauty.
<> The sacrifices are random, depending on the movement of the flames. They don’t get to choose what they give up.
<> And neither to they get to choose the gained power. Sometimes it will be something almost useless, sometimes it will be something incredibly destructive or amazingly useful.
<> There is a slight chance that the “fire bath” necessary to gain magic powers will kill, and the chances of this happening increase with age.
<> When powers are used they either drain a persons energy or a tiny bit of a person’s life span depending on the destructiveness/potency/usefullness/power of the spell.

I wanted to try to come up with a way of magic working that has never been used before, and I need enough disadvantage caused by magic so that not many people in my world would want it. How does this sound?
It’s a very odd story, and the main character is actually the villian.


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MAGIC!!!!!!!! Okay people, help me with my fantasy story. Is this a good ‘concept’ of magic?

The world it’s set in is almost exactly like the America in the early 1930s, but with a few major differences. One of these is that ‘magic’ exists. Okay, so it’s nothing like the magic you’re used to in fantasy. In order to gain any sort of supernatural power, a person (It could be a person of any age, but there’s a higher chance of survival the younger you are) goes to a priest who performs certain complicated rituals, and subsequently throws the power-seeker into a fire. You see, to gain magic in this world you have to make a sacrifice to gain the power. For example, the fire would entirely burn off a person’s legs but leave the rest of their body unharmed, and after a while the person would discover and begin to train their new self-levitation ability. Make sense? How this magic system works:

<> Person willingly sacrifices part of their body to gain powers.
<> It isn’t always a body part- sometimes a person could lose their sight or hearing or their ability to see beauty.
<> The sacrifices are random, depending on the movement of the flames. They don’t get to choose what they give up.
<> And neither to they get to choose the gained power. Sometimes it will be something almost useless, sometimes it will be something incredibly destructive or amazingly useful.
<> There is a slight chance that the “fire bath” necessary to gain magic powers will kill, and the chances of this happening increase with age.
<> When powers are used they either drain a persons energy or a tiny bit of a person’s life span depending on the destructiveness/potency/usefullness/powe… of the spell.

I wanted to try to come up with a way of magic working that has never been used before, and I need enough disadvantage caused by magic so that not many people in my world would want it. How does this sound?

Yes, it’s an odd story. The main character is the villian.
Ha, I LOVE Fullmetal Alchemist. Maybe I was subconciously inspired. I didn’t think of that.


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