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king tech is ready to begin production of its existing new technology. the company is evaluating 3 of production: a . a small production facility

king tech is ready to begin production of its existing new technology. the company is evaluating 3 of production:
a. a small production facility with older equipment
b. a large production facility that is more automated
c. subcontracting to an electronics manufacturer in nigeria.
the cost of each alternative is shown below.
process A ,B,C
fixed cost 2000,6000,0
vaiable cost 40,20,60
i. formulate the total cost function for each process
ii. for each cost function in i above, determine 2 total cost values corresponding to volumes 0 and 500
iii plot the 3 cost curves on the same axis
iv. for what levels of demand should each process be chosen

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