Question: a. draw a graph illustrating the crossover (or difference) points. b. determine the number of units where either choice has the same cost. 40,000 Minimum

a. draw a graph illustrating the crossover (or difference) points.
b. determine the number of units where either choice has the same cost.
40,000 Minimum Order 36,000 Stan Fawcett's company currently purchases a gear assembly from Salt Lake Supply, Inc., at $4.00 per unit with a minimum order of 3,000 units. Stan is considering instead producing the gear assembly himself. He estimates that producing it himself will cost $15,000 to set up the process and then $1.82 per unit for labor and materials. a) Using the line drawing tool, add the total cost graph for Stan produce the assembly instead of purchasing from Salt Lake Supply Total cost for the purchase option is already plotted. Properly label your line. Note: Carefully follow the instructions above and only draw the required object. 32,0001 28.0001 24,000- Cost 20,000 16,0001 12,000+ 8,000-1 4,0001 2,000 6,000 8,000 4.000 QuantityStep by Step Solution
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