Although it will fulfill her lifelong dream, Patricia is not confident that demand for her Tiny Trisha doll will exceed the breakeven point computed (see earlier question). If she chooses a less appealing site and does more of the work by hand, her initial investment cost can be reduced to $5,000, but her per-unit cost manufacture will rise to $15. per doll.
A.) What is the breakeven point for this new process?
B.) Compare this process to the process proposed in the previous problem for what volume of demand should Patricia choose this process. (Please show your work)
Hi, I have done this continuation problem in the same file of previous problem for easy understanding. In the excel file,... View the full answer