Question 1.1: Three production processes - A, B, and C - have the following cost structure: the selling price is 6.22 per unit Process Fixed Cost per Year Variable Cost per Unit

A 129948 3.40

B 93390 4.33

C 73326 5.42

1. What is the cost of process A for a volume of 8554 units? (round to the nearest cent).

What is the cost of process B for a volume of 8554 units? (round to the nearest cent).

Question 1.3: What is the cost of process C for a volume of 8554 units? (round to the nearest cent).

Question 1.4: How many units per year must be sold with process A to have annual pre-tax profits of 47211 if the selling price is 6.22 per unit? (Round to the nearest integer)

How many units per year must be sold with process B to have annual pre-tax profits of 47211 if the selling price is 6.22 per unit? (Round to the nearest integer). How many units per year must be sold with process C to have annual pre-tax profits of 47211 if the selling price is 6.22 per unit? (Round to the nearest integer).

. Question 1.7: Considering the pre-tax profits per period , what is the break-even volume for process A? (Round to the nearest integer).

Question 1.8: Considering the pre-tax profits per period , What is the break-even volume for process B? (Round to the nearest integer).

Question 1.9: Considering the pre-tax profits per period , What is the break-even volume for process C? (Round to the nearest integer).

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