MCQs > Finance & Management > Operations Management > A factory currently produces 1000 units at a unit cost of $3. If doubling output will decrease production costs by 20%, how much would it cost to produce 2000 units then?

Operations Management MCQs

A factory currently produces 1000 units at a unit cost of $3. If doubling output will decrease production costs by 20%, how much would it cost to produce 2000 units then?

Answer

Correct Answer: $4,800

Explanation:

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