Consider three distinct processes for making seats for a compact automobile: General-Purpose Equipment (GPE), Flexible Manufacturing System (FMS), and a Dedicated Machine (DM). Fixed and variable costs are as follows:

	General Purpose Equipment	Flexible Manufacturing System	Dedicated Machine
Annual Fixed Cost	$150,000	$200,000	$500,000
Per unit variable cost	$16	$14	$13

Which of the following statements is TRUE?

A.)GPE is best when the contracted number of seats is below 50,000.

B.) GPE is not the best process choice for any level of production.

C.) GPE is best when the contracted number of seats is above 300,000.

D.) GPE is best when the contracted number of seats is between 50,000 and 300,000.

E.) GPE is best when the contracted number of seats is below 25,000.