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A local convenience store is debating the purchase of two alternate types of personal pan pizzas. Currently, Supplier 1 supplies complete pizzas, fully cooked, for

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A local convenience store is debating the purchase of two alternate types of personal pan pizzas. Currently, Supplier 1 supplies complete pizzas, fully cooked, for the customer. Supplier 1 will charge a fixed cost of $20,000, and thereafter a variable cost of $1.75 per pizza. Supplier 2 has a different process to make an alternate product: a partially cooked pizza that can be flash frozen for the customer to finish heathing at home. Supplier 2 will charge a fixed cost of $24,000, but a lower variable cost (because much less energy is used in baking) of $1.25 per pizza. What is the crossover point between the Supplier 1 and Supplier 2 ? 5000 pizzas 20000 pizzas 8000 pizzas 10000 pizzas None of the above

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