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1. Three production processes - A, B, and C-have the following cost structure: Fixed Cost Variable Cost per Unit $3.25 4.25 Process per Year $125,000
1. Three production processes - A, B, and C-have the following cost structure: Fixed Cost Variable Cost per Unit $3.25 4.25 Process per Year $125,000 85,000 80,000 4.75 a. What is the most economical process for a volume of 8,000 units? Rrcest Equohien b. How many units per year must be sold with each process to have annual profits of $50,000 if the selling price is $7.00 per unit? What is the break-even volume for each process? c
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