208k views
5 votes
The costs and revenues associated with two alternatives are listed below: Alternative 1 Alternative 2 Projected revenue $ 150,000 $ 187,500 Unit-level costs 30,000 45,000 Batch-level costs 30,000 45,000 Product-level costs 22,500 22,500 Facility-level costs 15,000 15,000 Which alternative should be selected based on this information

User Veljko
by
3.1k points

1 Answer

6 votes

Answer:

Alternative 2

Step-by-step explanation:

Because it has a higher profit of $127,500

User Lukas Jelinek
by
3.5k points