Task 2 Costs (10 points) a) At Hikebike, considerable sums were invested in modernising the machines when new production processes were introduced. This has increased the costs. Explain the concept of fixed and variable costs and give two examples of each! (4) b) Why will companies with a high proportion of fixed costs be interested in increasing their output? (2) c) Hikebike uses a special machine to produce a certain part for installation in e-bikes, which the company also sells on the market to competitors. The capacity of this machine is designed for a monthly number of 1.500 pieces. Fixed costs amount to 45.000 per month. The variable costs are stated at 140 per unit. A sales price of 190 can be achieved on the market. At what level of employment the company reaches the break-even point? (4)