Question

When should companies consider the cost of research and development? 2. After R&D and before Production 3. After R&D and Production 4. None of the above Acme LLC has already paid $10,000,000 in Research & Development costs. Unfortunately, times have changed. Since they started R&D, the market for their new product, "the fancy machine," has shrunk. Acme's accountants have determined that if they were to still produce the fancy machines, the quantity that would produce the highest revenue would be 1,000,000 fancy machines. Each machine costs $4 to make and would be sold for $12. What should Acme do? 1. Not produce any fancy machines 2. Produce less than 1,000,000 fancy machines 3. Produce 1,000,000 fancy machines 4. Produce more than 1,000,000 fancy machines Acme LLC has already paid $10,000,000 in research & development. Unfortunately, times have changed since they started R&D and the market for their new product, the fancy

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