Karina's cake factory is considering two different machines. Machine A is highly automated with FC of $35,000 and VC of $.15/cake. Machine B is actually no machine but rather hand labor with FC of $12,000 and VC of $.57/cake. If demand for Karina's cakes is 40,000, which machine should she pick?

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The Answer of Karina's cake factory is considering two different machines. Machine A is highly automated with FC of $35,000 and VC of $.15/cake. Machine B is actually no machine but rather hand labor with FC of $12,000 and VC of $.57/cake. If demand for Karina's cakes is 40,000, which machine should she pick?

Karina's Cake Factory Is Considering Two Different Machines