Below is the answer given to my previous question posted. Can you please explain in detail why: " sTherefore in more than 250 units Process 1 should be used. For less than 100 units Process 3 should be used and between 100 and 250 Process 2 should be used."

Why? why should process 1 be used in more than 250 units?

Why should process 3 be used for less than 100 units?

Why should process 2 be used between 100 and 250 units?

Explain more about the break even point

Also, question number 3 please answer.

Creative designs make intricate jewelry out of precious metal. The company is introducing a new line and needs to select a manufacturing process. Three options are available. The first involves using a mold to mass produce the design for pendants, earrings, and bracelets. The second option laser cuts the design from a block of metal using a pattern directed by the software. The third option builds the design out of metal powder (gold, silver, and bronze) via a 3D printer. The company is uncertain about demand for the new design.

Option	Fixed Cost	Variable Cost
1	$10,000	$10
2	$5,000	$30
3	$3,000	$50

1. If Creative Designs expects to sell 200 pieces of the new design, which process should it use? Show your work and explain your answers in detail.
2. If Creative Designs expects to sell 1000 pieces of the new design, which process should it use? Show your work and explain your answers in detail.
3. Create a decision rule that specifies which process to select for different levels of demand. This is the place where the comment about graph should pop back into your mind (i.e., it would behoove you to create a graph & use it to answer the question). Insert your graph and explain your answers in detail. Hint: Review Example 7.1 in textbook and PPT slides. The video lecture [2] demonstrates how to create a graph and comment about graph.

ANSWER:

" In order to determine the scope to be used by the systems, costs must be deducted in order to obtain replacement points." Evaluation Option 1 & Option 2 10000 + 10 \ times x = 5000 + 30 \ times x x = 250 Evaluation of Option 2 and Option 3 5000 + 30 \ times x = 3000 + 50 \ times x x = 100 " Therefore in more than 250 units Process 1 should be used. For less than 100 units Process 3 should be used and between 100 and 250 Process 2 should be used." 1) If a company expects to sell 200 units it should use Process 2 2) If a company expects to sell 1000 units it should use process 1

3) " Therefore in more than 250 units Process 1 should be used. For less than 100 units Process 3 should be used and between 100 and 250 Process 2 should be used."