Question: A product is currently made using Process A where fixed cost is $8,000 per year and variable cost is $50 per unit. The firm currently
A product is currently made using Process A where fixed cost is $8,000 per year and variable cost is $50 per unit. The firm currently sells 200 units of the product at $140 per unit. A manager is considering an alternative Process B. The fixed cost of the Process B is $12,000 per year and the variable cost is $20 per unit. If a price of the product is $80, then 400 units of the product will be sold. What profit generated by Process A? O 10000 O 28000 O 18000 8000
What pepte generatied by Procest A? 10000 28000 16000 8000
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