Instructions

A company is considering getting a product

It has three alternatives

For the first alternative product fixed cost

Machine 20,000 and variable cost per unit 10

Dinars for the second alternative to obtain the product

The fixed cost to him is 40,000 dinars and the cost

The variable for a single unit is 8 dinars for either option

The third to get the product is to buy it directly

Of the returnees, and here the fixed cost is zero either

The variable cost is 50 dinars per unit

If you know that the volume of demand for this product is

1000 units Wi-Fi alternatives the company recommends to adopt

To get the product

Tc = FC + (vc * Q)