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Kitchen Helper Company decides to produce and sell food blenders and is considering three different types of production facilities (plants). Plant A is a labor-intensive

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Kitchen Helper Company decides to produce and sell food blenders and is considering three different types of production facilities ("plants"). Plant A is a labor-intensive facility, employing relatively little specialized capital equipment. Plant B is a semi-automated facility that would employ less labor than A but would also have higher capital equipment costs. Plant C is a completely automated facility using much more high-cost, high-technology capital equipment and even less labor than B. Information about the operating costs and production capacities of these three different types of plants is shown in the following table. B C Unit variable costs Material $3.50 $3.25 $3.00 abor $4.50 $3.25 $2.00 Overhead 1.00 $1.50 $2.00 Total $9.00 $8.00 $7.00 Annual fixed costs Depreciation $60,000 $100,000 $200,000 Capital $30,000 $50,000 $100,000 Overhead $60,000 $100,000 $150,000 Total $150,000 $250,000 $450,000 Annual capacity 75,000 150,000 350,000 Determine the average total cost schedules for each plant type to fill first three empty columns of the following table, (Hint: For output levels beyond the capacity of a given plant, assume that multiple plants of the same type are built. For example, to produce 200,000 units with Plant A, three of these plants would be built.) Note: If necessary, round to two decimal places. Short-Run Average Total Cost (SRATC) Long-Run Average Total Cost (LRATC) Output (Q) (Dollars) (Dollars) (Dollars) (Dollars) 50,000 100,000 150,000 200,000 250,000 300,000 350,000 Based on the cost schedules calculated, construct the long-run average total cost schedule for the production of blenders and fill the final column of the preceding table

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