Question

In: Accounting

a) The accounting firm has currently made the decision of buying System A because the purchasing...

a) The accounting firm has currently made the decision of buying System A because the purchasing cost is the lowest. But, you notice that when the volume of accounting reports jumps to certain level, the overall cost of using System A will not be the lowest. What is that volume?

b) In fact, the firm is going to have an aggressive expansion. Please advise the firm at what volume that System C will consume the minimum cost (i.e. the purchasing cost and the cost to process the reports). a) The accounting firm has currently made the decision of buying System A because the purchasing cost is the lowest. But, you notice that when the volume of accounting reports jumps to certain level, the overall cost of using System A will not be the lowest. What is that volume?

b) In fact, the firm is going to have an aggressive expansion. Please advise the firm at what volume that System C will consume the minimum cost (i.e. the purchasing cost and the cost to process the reports).

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Expert Solution

ekkarill92 answered 1 year ago
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