Break$-$Even Analysis Problem: Choosing Between $3$

Production Methods

A company is considering three different production methods to manufacture a new product. Each method has different fixed costs and variable costs per unit. The goal is to determine the break$-$even point for each method and decide which one is the best choice based on expected demand.

Production Methods and Costs

Production Method Fixed Cost $($$$)$ Variable Cost per Unit $($$$)$

$\backslash$table$[[$Method A$,50,000,10],[$Method B$,80,000,7],[$Method C$,120,000,5]]$

Demand Forecast:

The expected demand is $29,000$ units.

Calculate the break$-$even quantity for each production method.

Show the least cost envelope