Consider the following two production choicesfor Matson Engineering:AВFC100,000 150,000AOC10,00012,000SV8,00014,000L/hr$30$25# ofРеopleOutput/hr6.10Т уears8If Matson's MARR is 10% what is the breakevenquantity between these two machines?Group of answer choicesА. 382В. 604С. 411D. 321

Let number of units produced per year be Q. Variable Cost Per Hour as,

Answered: ngineering: A В 100,000 150,000

Business

Accounting

ngineering: A В 100,000 150,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Consider the following two production choices
for Matson Engineering:
A
В
FC
100,000 150,000
AOC
10,000
12,000
SV
8,000
14,000
L/hr
$30
$25
# of
Реople
Output/hr
6.
10
Т уears
8
If Matson's MARR is 10% what is the breakeven
quantity between these two machines?
Group of answer choices
А. 382
В. 604
С. 411
D. 321

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