Discuss at what quantity is sarah machinery indifferent


Sarah's Machinery Company is deciding to dump their current technology A for a new technology B with small fixed costs but big marginal costs. The current technology, A, has fixed costs of $6,000 and marginal costs of $50 whereas the new technology has fixed costs of $3,000 and marginal costs of $100. Discuss at what quantity is Sarah Machinery indifferent among the two types of technologies?

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Macroeconomics: Discuss at what quantity is sarah machinery indifferent
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