Рет қаралды 43
In this video, we look at a supply situation where we have multiple options to choose from. Each one has a different fixed, or up-front cost, as well as a different variable, or unit cost.
We want to come up with a list that tells us which option we should use, for any number of units we might need to buy.
Option, Fixed cost, Variable cost
A: $20,000; $12
B: $10,000; $15
C: $0; $20
D: $18,000; $21
In the end we get a list like this
Demand Option
0-2000: C
2,000-3,333: B
over 3,333: A