If the forecast annual production volume is 5,000 units, which technology alternative should the firm choose?
A) Manual
B) Semi-automatic

Question

Quizplus · Accepted Answer

The choice between manual and semi-automatic technology for a firm's production process depends on various factors such as cost, flexibility, production volume, and the nature of the product. For a forecast annual production volume of 5,000 units, a manual process might be more suitable due to its lower initial investment and higher flexibility for small-scale production. Semi-automatic processes, while more efficient for higher volumes, may not be cost-effective for such a relatively low volume due to higher initial costs and potentially underutilized capacity.

If the Forecast Annual Production Volume Is 5,000 Units, Which