3. A firm is looking at three potential suppliers S1, S2, or S3. They have estimated...

 

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3. A firm is looking at three potential suppliers S1, S2, or S3. They have estimated the following parameters for each supplier. For what demand range is each option the best? Supplier Fixed Cost Variable Cost S1 S2 S3 250,000 400,000 700,000 80 50 30 1) Indifference points calculation (2) Cost line graphing 3) Identify the demand range for each supplier 3. A firm is looking at three potential suppliers S1, S2, or S3. They have estimated the following parameters for each supplier. For what demand range is each option the best? Supplier Fixed Cost Variable Cost S1 S2 S3 250,000 400,000 700,000 80 50 30 1) Indifference points calculation (2) Cost line graphing 3) Identify the demand range for each supplier

Answer rating: 100% (QA)

To determine the demand range for each supplier we need to find the indifference points create cost ... View the full answer