Fly Ash Brick Project: Feasibility Study Using CVP Analysis Harvard Case Solution & Analysis

A budding entrepreneur in India is intending to set up a fly ash brick manufacturing plant near a thermal power plant. Not just does making bricks out of the remainder of coal power generation decrease the quantity of fly ash waste dumped on the earth, but the government is actively supporting the fly ash brick industry as a way to meet the growing demands for construction materials that are environmentally sustainable.

On the basis of preliminary investigation, the entrepreneur settle on to set up a plant that will possess the capacity to fabricate four million bricks. Though actual production will depend on market demand, he along with his potential associate estimate that 2.4 million bricks can be sold per year at an average Rs 7,000 per 1,000 bricks. He desires to ascertain the feasibility of the job by means of a cost-volume-profit analysis.

PUBLICATION DATE: December 20, 2013 PRODUCT #: W13543-PDF-ENG

This is just an excerpt. This case is about FINANCE & ACCOUNTING

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