ory Bookmarks People Window Help kboardcomwebappsassessmentt

ory Bookmarks People Window Help kboard.com/webapps/assessment/take/launch.jsp?course assessment.id 316776 1&course; id- 144960 1&new; attempt-1 adpag ese Google Docs Gabriel Manufacturing must implement a manufacturing process that reduces the amount of toxic by-products. Two processes have been identified that provide the same level of toxic by-product reduction.Usage is currently 900 units. The first process would incur $250,000 of fixed costs and $650 per unit of variable costs. The second process has fixed costs of $140,000 and variable costs of $1000 per unit. What is the total cost of the second process? ION 2

Solution

CALCULATION OF THE TOTAL COST OF SECOND PROCESS PARTICULARS AMOUNT Variable Cost $                        9,00,000 (900 Units X 1000 units) Fixed Cost $                        1,40,000 Total Cost of second process $                      10,40,000 Answer = $                      10,40,000