Question

As a Manager, your goal is to maximize profit of your business. Assume you are in charge of managing your company's costs - you are the Controller of Accounts and all purchases must be approved by you. With appropriate examples, illustrate how you and your Division will contribute to maximizing profit of your business.

Answer 1

ANSWER: By keeping in the mind with the aim of maximizing the profit, Being manager first of all we need to work out on the possible alternative of sourcing the inputs at a low cost. These alternatives must be given priority based on the cost and also quality. The production activity also should be channelized based on the least cost combinations of the inputs.

For instance, if a animal feed producing firm should prioritize th einputs like maize, de-oiled rice bran, cakes and also other ingredients based upon its quality and also cost. It then needs to look into the developing a least cost combination which helps to keep the cost at very low such that the maximization of profits will be attained.