Question
Fabricators, Inc. produces parts for automobile industry. Due to increasing demand for automobiles, the company wants to increase capacity by adding a new machine. The
Fabricators, Inc. produces parts for automobile industry. Due to increasing demand for automobiles, the company wants to increase capacity by adding a new machine. The fixed costs for the new fabricating machine is F =$90,000, and its variable cost is V=$15 per unit. The revenue per unit is P=$21.
What is profit if the company plans to produces 100,000 units?
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