QUESTION 12 A rotational molding operation has fixed costs of $6,000 per year and variable costs of $54 per unit. If the process is aut conveyor, its fixed cost will be $49,000 per year, but its variable cost will be only $10 per unit. Determine the number of necessary for the two operations to break even. The number of units each year necessary for the two operations to break even, (in units) Round to the nearest two (2) decimal places

Survey Of Economics
10th Edition
ISBN:9781337111522
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter6: Proudction Costs
Section: Chapter Questions
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QUESTION 12
A rotational molding operation has fixed costs of $6,000 per year and variable costs of $54 per unit. If the process is automated via
conveyor, its fixed cost will be $49,000 per year, but its variable cost will be only $10 per unit. Determine the number of units each year
necessary for the two operations to break even.
The number of units each year necessary for the two operations to break even, (in units)
Round to the nearest two (2) decimal places
Transcribed Image Text:QUESTION 12 A rotational molding operation has fixed costs of $6,000 per year and variable costs of $54 per unit. If the process is automated via conveyor, its fixed cost will be $49,000 per year, but its variable cost will be only $10 per unit. Determine the number of units each year necessary for the two operations to break even. The number of units each year necessary for the two operations to break even, (in units) Round to the nearest two (2) decimal places
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