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Halo cleannwashes 140 vehicles each day and last month, 50% of them required a hand finish. Each hand wash costs $12. Harry

believes the problem can be eliminated by a prewash (costing $3 per vehicle) and an equipment calibration at the start of each day, which will reduce the number of vehicles washed each day by 15, but will decrease the vehicles requiring a hand finish from 50% to 10%.

HaloClean washes vehicles using a no-hands approach. Business is good but Harry, the manager, has noticed that customers complain because there are streaks on their vehicles at pickup. HaloCiean warrants that each vehicle will sparkle at delivery and charges $27 for each vehicle. (Click the iocon to view additional information.) Read the requirements Requirement 1. Should HaloClean implement Harry's idea? Show your calculations. Begin by caiculating the net relevant benefit under the cument method of washing cars. (If a box is not used in the table, leave the box empty; do not select a label or enter a zero.) Net relevant beneit Next, caiculate the net relevant benefit under the modified method of washing cars. (Do not round intermediary calculations. Only round the amount you input in the cell to the nearest dollar.) Net relevant benefit impiement Harry's idea. Choose from any Wist or enter any number in the input fields and then continue to the next question. HaloClean each vehicle will sparkle at delivery and charges $27 for each vehicle. washes vehicles using a no-hands approach. Business is good but Harry, the manager, has noticed that customers complain because there are streaks on their vehicles a (Click the icon to view additional information.) Read the requirements. Net relevant benefit Next, calculate the net relevant benefit under the modified method of washing cars. (Do not round intermediary ca lculations. Only round the amount you input in the cell to the nearest d Net relevant benefit HaloClean Requirement 2. What nonfinancial and qualitative factors should HaloClean consider in deciding whether to implement the new implement Harry's idea. design? (Selec all that apply) A. A calibration of the equipment at the start of each shift is likely to improve employee knowledge of the equipment and could be B. Employee morale. With fewer cars to hand wash, employees will feel proud of their employer for fixing the problem and can focus more of their attention on customer service. helpful in the event other equipment failures occur. C. With fewer cars with streaks in the parking area, it is likely that customers and potential customers will be impressed with the consistent D. None of the above because the cost of quality should be the only deciding factor sparkling cars that result from the cleaning pro Choose from any list or enter any number in the input fields and then continue to the next

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