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Anonymous A
on Jan 09, 2025
USA
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Can someone please explain how to calculate the variable costs for the different regions?

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Han
Coach
on Jan 09, 2025
Ex-Mckinsey EM | General consulting and technical case coaching | Discount for first session

Below is an example, wondering what you missed was the 1/30 and 1/20 manufacturer usage in each region.

For Americas, it is:

12000*0.3*0.6*50000/30 = 3.6m

Most commonly omited factor is the below one, that case you may got 108m instead (using Americas as an example)

 

Feel free to reach out if any follow up Qs, cheers!

Han

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