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Only D - F Class example includes parts a-c. Complete parts d-f for grading: Chapter 7 - Problem 7.10 (modified) Gardens, Inc., prewashes, shreds, and

Only D - F

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Class example includes parts a-c. Complete parts d-f for grading: Chapter 7 - Problem 7.10 (modified) Gardens, Inc., prewashes, shreds, and distributes a variety of salad mixes in 2-pound bags. Doug Voss, Operations VP, is considering a new Hi-Speed shredder to replace the old machine, referred to in the shop as "Clunker." Hi-Speed will have a fixed cost of $95,000 per month and a variable cost of $1.20 per bag. Clunker has a fixed cost of only $45,000 per month, but a variable cost of $2.00. Selling price is $2.80 per bag. a) What is the break-even point in units with Clunker? b) What is the break-even point in dollars with Clunker? c) What is the monthly profit if the company selects the Clunker shredder and sells 70,000 bags per month? d) What is the break-even point in units with the Hi-Speed shredder? e) What is the break-even point in dollars with the Hi-Speed shredder? f) What is the monthly profit if the company selects the Hi-Speed shredder and sells 70,000 bags per month

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