Produce 12,000 pairs of Model B because they have a lower fixed cost.
B
be indifferent as to which model is sold because each model has the same variable cost per unit.
C
produce 12,000 pairs of Model A because they have a lower breakeven point
D
be indifferent as to which model is sold because both are profitable.
E
produce 12,000 pairs of Model A because they are more profitabl