What is the break-even point in terms of sales if you need to invest in identifying the cause of these failures?
Your company modifies high-end computers for use as servers for robotic manufacturing devices. You occasionally have problems with hardware failures that are in excess of what you feel is normal. Ignoring the cost of lost business because of these failures, you determine that the following costs are applicable:
What is the break-even point in terms of sales if you need to invest in identifying the cause of these failures?