mid-town copy service processes 1,800,000 photocopies per month
mid-town copy service processes 1,800,000 photocopies per month at its mid-town service center. approximately 50 percent of the photocopies require collating. collating is currently performed by high school and college students who are paid $8 per hour. each student collates an average of 5,000 copies per hour. management is contemplating the lease of an automatic collating machine that has a monthly capacity of 5,000,000 photocopies, with lease and operating costs totaling $1,550, plus $0.05 per 1,000 units collated.required a. determine the total costs of collating 500,000 and 1,500,000 per month: 1. with student help. 2. with the collating machine. b. determine the monthly volume at which the automatic process becomes preferable to the manual process. c. should mid-town copy lease the automatic collating machine at this time?
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