What is the crossover point? for the two? machines

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Reference no: EM132273848

Nagle? Electric, Inc., of? Lincoln, Nebraska, must replace a robotic Mig welder and is evaluating two alternatives. Machine A has a fixed cost for the first year of $82,000 and a variable cost of $17?, with a capacity of 15,000 units per year. Machine B is? slower, with a speed of? one-half of? A's, but the fixed cost is only $61,000. The variable cost will be? higher, at $22 per unit. Each unit is expected to sell for $29.

a) What is the crossover point? (point of? indifference) for the two? machines? _________

The crossover point for the two machines is _____ and _______ units. ?(Round your response to the nearest whole? number.)

?b) What is the range of units for which machine A is? preferable?

Machine A is preferable at a level of production ____and ______ units. units. ?(Enter your response as a whole? number.)

?c) What is the range of units for which machine B is? preferable?

Machine B is preferable at a level of production ____ and ______ units

?(Enter your response as a whole? number.)

Reference no: EM132273848

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