The salary paid to a plant supervisor is $80,000 per year. The plant is capable of producing
Question:
The salary paid to a plant supervisor is $80,000 per year. The plant is capable of producing 80,000 pounds of a chemical per year.
Required:
1. Prepare a table that shows how the cost of plant supervision behaves in total and on a per-unit basis as production increases from 0 to 80,000 pounds, using 20,000-pound increments.
2. How would you classify the behavior of this supervision cost?
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