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Two separate processes are being considered for manufacturing a product. Process A has fixed costs of $ 1 2 , 0 0 0 and variable
Two separate processes are being considered for manufacturing a product. Process A has fixed costs of $ and variable
costs of $ per unit. Process has fixed costs of $ and variable costs of $ per unit.
a What is the breakeven quantity for the two processes Show your work
b Which process would be more costeffective for producing units?
c Which process would be more costeffective for producing units?
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