Answer:
The cross over is at 1800 units annually. for volumes over 1800, the process focus is cheaper.
Explanation:
The crossover is at 1800 units annually.
For volumes under 1800, the process focus is cheaper and lesser; for volumes that are over 1800 units, the repetitive manufacturing focus is cheaper and lesser
Fixed cost ÷ variable cost
$90000÷50 =$1800
$9,000÷5=$1800
Answer:
$50
Explanation:
Marginal costs refer to the additional expense incurred in the manufacturing of one more unit of a product. It is the incremental cost associated with producing an extra unit of a good.
The formula for calculating marginal cost is,
MC = change in cost/ Change in quantity
in this case:
MC = $1550 - $ 1500
26-25
MC = $50/1
Marginal costs= $50
Answer:
Option (C) is correct.
Explanation:
Consumer income is one of the main determinant of demand. Consumer income is related with the demand of normal and inferior good.
If there is an increase in the income of a consumer then as a result the demand for a normal good increases and shifts the demand curve rightwards.
If there is a fall in the income of the consumer then as a result the demand for a normal good also decreases and shifts the demand curve leftwards.
Alternatively, the consumer income is inversely related with the demand for inferior goods.
