E produces plastic for the residential construction industry. The firm sells tubing for $100 per container. E is updating its production process and is considering two production plans. Plan A has fixed costs of $8,000,000 and a per unit variable cost of $50. Plan B has fixed costs of $2,000,000 and variable cost per unit of $80. Ignore taxes.

What is the break-even quantity of each plan? show work

What is the quantity at which both plans lead to the same profit (EBIT)? show work

At which quantity is Plan A preferred to Plan B? When is Plan B preferred to Plan A? show work