A brewery is considering two potential production investments:
Option A costs an initial $2 million and will involve constant marginal cost of $5
option B costs an initial $4 million and will involve constant marginal cost of $3
In order to make the calculations simple, assume the annual capiital cost is 10% of the total investment. At what production wuantity per year would the brewery be indifferent between these two investment opportunities?
A. 20000
B.100000
C. 200000
D. 150000
Order custom essay
Sample Essays
Custom term paper
Home
Prices
Write My Research Paper
Affiliate program
Custom essay
Research paper
Write my essay
Write my paper
Essay writers
Become a Freelance Writer
Contact us
Glossary
Sitemap
Terms and conditions
Privacy policy
Disclaimer: Assignments Care is a professional writing service that provides original papers. Our products include academic papers of varying complexity and other personalized services, along with research materials for assistance purposes only. All the materials from our website should be used with proper references.
Hi there! Click one of our representatives below and we will get back to you as soon as possible.
