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Angelique runs a business making cell-phone cases. She started her business making custom 3-D printed cases. To make those she must pay a fixed cost
Angelique runs a business making cell-phone cases. She started her business making custom 3-D printed cases. To make those she must pay a fixed cost of $44 to use the library's 3-D printer along with a per-unit cost of $7 for the plastic and the time to design and print the cases. Angelique is considering purchasing a plastic mold to make the cases instead. The mold would cost $106 up front, but once she has purchased it her per-unit cost drops to $5. Assume that the mold will last for one month. 1st attempt Part 1 ( 2 points) If Angelique expects to produce 41 cell-phone cases over the next month, which production method should she use? Choose one: A. 3-D printing B. plastic mold C. Neither; she should shut down production. D. She is indifferent; the average cost is the same. If Angelique expects to produce 26 cell-phone cases over the next month, which production method should she use? Choose one: A. 3-D printing B. plastic mold C. Neither; she should enter a new market. D. She is indifferent; the costs are the same. Part 2 (1 point) What is the smallest number of cell-phone cases Angelique needs to produce to make purchasing the plastic mold worthwhile? (Assume that if the costs are exactly equal Angelique prefers to purchase the plastic mold.)
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