Question: Process x has fixed costs of $ 1 1 , 0 0 0 and variable costs of $ 2 . 4 0 per unit. Process
Process has fixed costs of $ and variable costs of $ per unit. Process has fixed costs of $ and variable costs of $ per unit. Which of the following statements is TRUE?
Process is more profitable than process and should be selected.
The crossover point is approximately units.
Process is cheaper than process at all volumes.
Process should be selected for very large production volumes.
It is impossible for one process to have both of its costs lower than those of another process.
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