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d. The anticipated levels of sales are the following: Year Unit Sales 1 2,900 2 3,900 4,900 5,900 3 4 If management selects the
d. The anticipated levels of sales are the following: Year Unit Sales 1 2,900 2 3,900 4,900 5,900 3 4 If management selects the scale of production with higher fixed cost, what can it expect in years 1 and 2? Round your answers to the nearest dollar. Earnings in year 1: $ Earnings in year 2: $ If the firm selects the scale with higher fixed costs, its earnings in year 1 will be lower than earnings in year 2. If sales reach only 3,900 a year, was the correct scale of operation chosen? Be sure to consider all the factors. The first scale of operation Hide Feedback Partially Correct Icon Key should have been preferred. Save Check My Work Question 2 of 5 Submit Assignment for Grading
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