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Author Question: The local convenience store makes personal pan pizzas. Currently, their oven can produce 50 pizzas ... (Read 137 times)

Anajune7

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The local convenience store makes personal pan pizzas. Currently, their oven can produce 50 pizzas per hour. It has a fixed cost of $2,000, and a variable cost of $0.25 per pizza. The owner is considering a bigger oven that can make 75 pizzas per hour. It has a fixed cost of $3,000, but a variable cost of $0.20 per pizza.
a. At what quantity do the two ovens have equal costs?
b. If the owner expects to sell 9,000 pizzas, should he get the new oven?


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Marked as best answer by Anajune7 on Dec 3, 2019

trampas

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Anajune7

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Reply 2 on: Dec 3, 2019
YES! Correct, THANKS for helping me on my review


mcabuhat

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Reply 3 on: Yesterday
Gracias!

 

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