​Use the Following Setup for the Next Question

question 81

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 company plans to produce 9 units,which technology should the firm choose?

• A)​Technology A
• B)Technology B
• C)Either technology because they are equally cost efficient
• D)​Need more information

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Definitions:

Knowledge Resources

Assets or information sources within an organization that enhance decision-making, problem-solving, and strategic planning through expertise and intelligence.

Research Capabilities

The potential or ability of individuals or organizations to conduct systematic investigation into a field of study in order to discover, interpret, or revise facts, theories, and applications.

Outsourcing

The practice of hiring external entities to perform services or produce goods traditionally done by the company's own employees.

Organizational Restructuring

The act of reordering or changing the structure, operations, or processes of an organization to improve efficiency, adapt to new market conditions, or achieve strategic goals.