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Business, 19.09.2019 03:30 Deadpool9609

Aproduct is currently made in a process-focused shop, where fixed costs are $8,000 per year and variable cost is $40 per unit. the firm currently sells 200 units of the product at $200 per unit. a manager is considering a repetitive focus to lower costs (and lower prices, thus raising demand). the costs of this proposed shop are fixed costs = $24,000 per year and variable cost = $10 per unit. if a price of $80 will allow 400 units to be sold, what profit (or loss) can this proposed new process expect? do you anticipate that the manager will want to change the process? explain.

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