Question: Process selection (5 marks) Peters Pizz is a franchise that makes personal pan pizas, They are considering two new processes, Process A tass a fixed
Process selection (5 marks) Peters Pizz is a franchise that makes personal pan pizas, They are considering two new processes, Process A tass a fixed cost or $21,000, and a variable cost of $1.75 per pizza. Process 8 has a fored cost of $25,000, but a fower variable cost of \$1.25 per pizzo. Required: (show all calculations) 1. Calculate the crossover point between the Option A process and the Option B process. (2 marks) 2. If demand for Peter's Pizzas is 9,500 pizzas, which option should he pick? (1 mark) 3. Peter is looking to improve the time it takes to enter a pizza order through to the time it takes for the customir to receive the pizza, What process analysis tool from chapter 7 of the text would you recommend and why? (2 marks) Option 1. Answer the question in the response template below
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