ILLUSTRATION 16.2 The Hi-Tech Manufacturing Company is presently evaluating two possible processes for the manufacture of toy and makes available to you the following information: Process A Process B Variable cost per unit 12 14 Sale price per unit 20 20 Total fixed costs per year 30,00,000 21,00,000 Capacity (in units) 4,30,000 5,00,000 Anticipated sales (next two years in units) 4,00,000 4,00,000 You are required to suggest: (i) Which process should be chosen? Substantiate your answer. (ii) Would you change your answer as given above if you were informed that the capacities of the two processes are: A-6,00,000 units, B-5,00,000 units? Why? Substantiate your