Fae technologies is deciding whether it should begin production of a new toy robot. it has manufactured children’s toys before but nothing as advanced as its latest robot so historical data is at a minimum. the company believes that they can secure the materials for manufacture for between $65-85 per unit and labor costs would be between $15-25 per unit. management’s expectations are that materials will cost $70 per unit and labor $25 per unit and that 800 units will be sold monthly. should fae decide to manufacture the robots in-house, maintenance of the factory machine would cost $15,000 per month. however, management has found that another alternative is for the company to outsource the labor for a flat rate of $35 per unit. the company expects to sell between 750-1000 units per month initially at a price of $149. provide recommendations for fae technologies that will maximize profit. also include base, worst, and best case scenario calculations and provide a scenario summary. be sure to also consider the outsourcing alternative and make a recommendation on which alternative has the most profit potential. lastly, include a breakeven amount of units sold for the worst-case without outsourcing.

Reliability and validity reliability and validity are two important considerations that must be made with any type of data collection. reliability refers to the ability to consistently produce a given result. in the context of psychological research, this would mean that any instruments or tools used to collect data do so in consistent, reproducible ways. unfortunately, being consistent in measurement does not necessarily mean that you have measured something correctly. to illustrate this concept, consider a kitchen scale that would be used to measure the weight of cereal that you eat in the morning. if the scale is not properly calibrated, it may consistently under- or overestimate the amount of cereal that’s being measured. while the scale is highly reliable in producing consistent results (e. g., the same amount of cereal poured onto the scale produces the same reading each time), those results are incorrect. this is where validity comes into play. validity refers to the extent to which a given instrument or tool accurately measures what it’s supposed to measure. while any valid measure is by necessity reliable, the reverse is not necessarily true. researchers strive to use instruments that are both highly reliable and valid.