Arike Ogwumike Manufacturing intends to increase capacity through the addition of new equipment. Two vendors have presented proposals. The fixed cost for proposal A is $56,000, and for proposal B,$36,000. The variable cost for A is $13, and for B,$18. The revenue generated by each unit is $23. What is the crossover point for the two options?

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13-06-2024
Business

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Arike Ogwumike Manufacturing intends to increase capacity through the addition of new equipment. Two vendors have presented proposals. The fixed cost for proposal A is $56,000, and for proposal B,$36,000. The variable cost for A is $13, and for B,$18. The revenue generated by each unit is $23. What is the crossover point for the two options?

Sagot :

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