​Use the Following Setup for the Next Question

question 63

Multiple Choice

​Use the following setup for the next question.
A firm is deciding between two different sewing machines.Technology A has fixed costs of $500 and marginal costs of $50 whereas Technology B has fixed costs of $250 and marginal costs of $100.
-​If the price is $60 per unit,what is the break even amount of units for technology A?

• A)​50
• B)100
• C)150
• D)​None-They would have to shut down

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Definitions:

Microprocessor

A small electronic device that performs the instructions of a computer program by executing basic arithmetic, logical, control, and input/output operations.

Scanner

A device that digitizes materials (such as documents, photos, or 3D objects) for the purpose of displaying or storing the digitized images electronically.

Tomography

An imaging technique that creates a detailed cross-sectional image of the body, used in various medical fields.

Radioactive Isotope

An isotope of an element that decays over time, releasing radiation.