Question

The option gpe is best when the contracted volume is below 3750037500 units ​(enter your response as a whole​ number).the option fms is best when the contracted volume is between 3750037500 and nothing units ​(enter your responses as whole​ numbers).

Answer 1

Answer:

Find attached missing part of the question:

The option gpe is best when the contracted volume is below 31250  units

The option fms is best when the contracted volume is between 31,250 and 230,000  units ​

The option DM is best when contracted volume is above 230,000 units

Step-by-step explanation:

let x represent the volume produced in each of the three options:

Total cost(TC) =fixed cost+(variable per unit*x)

for general purpose equipment:

TC=125,000+18x equation 1

for flexible manufacturing system

TC=250,000+14x equation 2

for dedicated machine

TC=480,000+13x equation 3

if we set equations 1 and 2 together

125,000+18x=250,000+14x

If we equate equations 2 and 3 together

250,000+14x=480,000+13x

14x-13x=480,000-250,000

x=230,000

18x-14x=250,000-125,000

4x=125,000

divide both sides y 4

x=125,000/4=31250

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