Machine A has fixed costs of P500,000 and a variable cost of P20. Machine B has fixed costs of P600,000 and a variable cost of P15. What is the indifference point, in units?

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter14: Capital Structure Management In Practice
Section14.A: Breakeven Analysis
Problem 7P
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Machine A has fixed costs of P500,000 and a variable cost of P20. Machine B has fixed costs of
P600,000 and a variable cost of P15. What is the indifference point, in units? *
Transcribed Image Text:Machine A has fixed costs of P500,000 and a variable cost of P20. Machine B has fixed costs of P600,000 and a variable cost of P15. What is the indifference point, in units? *
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