Anyshade manufactures a range of paints. It uses flow production. The Finance manager has produced a cash flow forecast as the business wants to arrange an overdraft with its bank. The Finance manager believes that reducing prices is the best way to increase sales revenue. Anyshade’s paints are well known for quality.
- CASH FLOW FORECAST.JPG (21.38 KiB) Viewed 308 times
18 Identify and explain two advantages to Anyshade of using flow production. [4]
Possible KN Points:
• Costs are kept low
• Capital intensive production
• Able to employ unskilled workers
• Goods can be produced quickly
• Consistent/uniform standard of products
• Production can continue 24/7
• Highest output
• or higher output than batch production
• Economies of scale