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Question 3 5*7=35 marks Carrefour sells manually and mechanically processed lettuce. The fixed cost of manual process is $54000 and a variable cost of $3

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Question 3 5*7=35 marks Carrefour sells manually and mechanically processed lettuce. The fixed cost of manual process is $54000 and a variable cost of $3 per bag, while the mechanized process incurs a fixed cost of $69750 and a variable cost of $2 per bag. The store sells a bag of lettuce for $10. Since the manually processed bags are packaged in environmentally friendly bags, the government gives 0.50 per bag to Carrefour to encourage environmental sustainability. Mechanically processed lettuce needs non-recyclable plastic bags, violating the government initiative to remove non- recyclable plastic bags; therefore, Carrefour pays the government a penalty tax of 0.25 per bag of mechanically processed lettuce. a) What is the breakeven volume for the manual process? Also, calculate the breakeven in dollars. b) What is the breakeven volume for the mechanized process? Also, calculate the breakeven in dollars. c) Which process will you select if the sales volume is 63000 bags? Provide respective profits. d) At what sales volume, profit of manually processed lettuce is more than the mechanically processed by 10000 dollars? e) Find the sales volumes such that i) the volume of the manual process is more than the mechanical process by 2000 ii) and the profit from manual process is more than the mechanical process by 28250

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