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1 . If Coffee Bloom Caf , Inc. expects to sell 1 2 , 0 0 0 units, which option should they take? Show your

1. If Coffee Bloom Caf, Inc. expects to sell 12,000 units, which option should they take? Show your work to calculate total costs in the answer.
2. If Coffee Bloom Caf, Inc. expects to sell 8,000 units, which option should they take? Show your work to calculate total costs in the answer.
3. Develop a decision rule that specifies which option to take for different levels of unit. Hint: Review Example 7.1 in textbook and PPT slides. The video lecture [2] demonstrates how to create a graph and comment about graph.

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