Maryland Manufacturing (M2) produces a part using an expensive proprietary machine that can only be...
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Maryland Manufacturing M produces a part using an expensive proprietary machine that can only be leased. The leasing company offers two contracts. The first unitrate lease is one where M would pay $ per unit produced, regardless of the number of units. The second lease option flatrate lease is one where M would pay $ annually, regardless of the number produced. The lease will run one year and the lease option chosen cannot be changed during the lease. All other lease terms are the same. M sells the part for $ per unit and unit variable cost excluding any machine lease costs are $ Annual fixed costs excluding any machine lease costs are $
Maryland Manufacturing M produces a part using an expensive proprietary machine that can only be leased. The leasing company offers two contracts. The first unitrate lease is one where M would pay $ per unit produced, regardless of the number of units. The second lease option flatrate lease is one where M would pay $ annually, regardless of the number produced. The lease will run one year and the lease option chosen cannot be changed during the lease. All other lease terms are the same.
M sells the part for $ per unit and unit variable cost excluding any machine lease costs are $ Annual fixed costs excluding any machine lease costs are $
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