CIPD QUESTIONS

Consider two options that you are comparing, with the

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Consider two options that you are comparing, with the following numbers:Option 1Option 2Price/unit5030Variable Cost/unit4024Fixed Cost10,00016,000Assuming no changes to Option 1, how much of a subsidy would be needed on Option 2 to make the profit lines cross at 2000 units? Assume the subsidy is on a per unit basis only.

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Consider two options that you are comparing, with the

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