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Over the last three months, Tau Ltd. has seen the following production costs: April: 550 units, $11,000 total cost. May: 1,100 units, $16,500 total cost.
- Over the last three months, Tau Ltd. has seen the following production costs:
- April: 550 units, $11,000 total cost.
- May: 1,100 units, $16,500 total cost.
- June: 1,650 units, $19,800 total cost.
- Requirement: Calculate the unit cost for each month, identify the cost behavior, and explain the implications for production scaling.
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Global Strategy
Authors: Mike W. Peng
5th Edition
0357512367, 978-0357512364
