Borges Machine Shop, Inc., has a 1-year contract for the production of 200,000 gear housings for a new off-road vehicle. Owner Luis Borges hopes the contract will be extended and the volume increased next year. Borges has developed costs for three alternatives. They are general-purpose equipment (GPE), flexible manufacturing system (FMS), and expensive, but efficient, dedicated machine (DM). The cost data follow: The option GPE is best when the contracted volume is below The option FMS is best when the contracted volume is between The option DM is best when the contracted volume is over units (enter your response as a whole number). and Annual contracted units Annual fixed cost Per unit variable cost units (enter your responses as whole numbers). units (enter your response as a whole number). General-Purpose Equipment (GPE) 200,000 $100,000 $15.00 Flexible Manufacturing System (FMS) 200,000 $250,000 $14.00 Dedicated Machine (DM) 200,000 $525,000 $13.00 Instructor tip This is a crossover problem. See pg 286-287 for an example. Follow the crossover chart process in the calculation Close -