Epsilon Manufacturing currently produces its lead product on a machine that has a variable cost of $0.32 per unit, and f

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answerhappygod
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Epsilon Manufacturing currently produces its lead product on a machine that has a variable cost of $0.32 per unit, and f

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Epsilon Manufacturing currently produces its lead product on a machine that has a variable cost of $0.32 per unit, and fixed costs of $75,000. Big John is considering purchasing a new machine that will drop the variable cost to $.28 per unit. If the cross-over point between the two machines is 1,875,000 units what must be the fixed costs of the new machine?
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