Worthington Machining must decide whether to purchase Process A with specialized metal folding equipment needing three employees to operate it or Process B with general purpose

folding equipment requiring four employees. Process A requires a fixed cost of $$1,460,000$ and a variable cost of $$14\mathrm{.}05$ per metal panel. Process B requires a fixed cost of $$810,000$ and a

variable cost of $$21\mathrm{.}85$ per metal panel. Process A is more automated than Process B$.$ Predicted demand for the next year is $180,000.$ What do you recommend if Worthington Machining

can buy folded metal panels of identical size at a price of $$22\mathrm{.}25$ per panel? Round your answers to the nearest dollar.

Total cost of Process A: $

Total cost of Process B: $

Total cost of purchase: $

So$,$

is recommended.