Borges Machine Shop, Inc., has a 1-year contract for the production of 250,000 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 officient, dedicated machino (OM). The cost data follow: Goneral-Purpose Flexible Manufacturing Dedicated Equipment (GPE) System (FMS) Machine (DM) Annual contracted units 250,000 250,000 250,000 Annual fixed cost $100,000 $200,000 $525,000 Por unit variable cost $18.00 $14.50 $13.75 Based on the cost, the process that is best suited for the current contracted volume is