MCQOPTIONS
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| 1. |
Process I requires 20 units of fixed cost and 3 units of variable costs per piece, while process II required 50 units of fixed costs and I units of variable cost per piece. For a company producing 10 pieces per day: |
| A. | Process I should be chosen |
| B. | Process II should he chosen |
| C. | Either of the two processes should he chosen |
| D. | A combination of process 1 and process II should be chosen |
| Answer» B. Process II should he chosen | |