Question: resulting in $ 3 0 0 , 0 0 0 profit from sales. With a large process line, you could handle the high figure of

resulting in $300,000 profit from sales.
With a large process line, you could handle the high figure of $650,000. However, with a small process line you could not and would be forced to expand (at a cost of $175,000), after which time your profit from sales would be $500,000 rather than the $650,000 because of the lost time in expanding the process. If you do not expand the small process, your profit from sales would be held to $450,000. If you build a small process and the demand is low, you can handle all of the demand.
The best option is to open a , with an expected value of $ (round your response to the nearest whole number).
 resulting in $300,000 profit from sales. With a large process line,

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