Assume that you and your brother plan to open a business that will make and sell a newly designed type of sandal. Two robotic machines are available to make the sandals, Machine A and Machine B. The price per pair will be $30.00 regardless of which machine is used. The fixed and variable costs associated with the two machines are shown below. What is the difference between the break-even points for Machines A and B? Do not round your intermediate calculations. (Hint: Find BEB - BEA) Machine AMachine BPrice per pair (P)$30.00 $30.00 Fixed costs (F)$25,000 $100,000 Variable cost/unit (V)$7.00 $4.00 ?
A. 3,035
B. 2,235
C. 2,069
D. 2,621
E. 2,759
Answer: E
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