Based on the above, it can be inferred that the best option to produce the 15,000 units is the factory with the lowest cost per unit.
Unit cost is a term to refer to the value per unit of a product that a factory charges to produce it.
In this case, the best alternative to produce 15,000 products is the factory with the lowest cost per unit, since this will reduce the cost of the order.
To find the cost per unit we divide the total cost of the order by the number of units. For example:
To know which one is more convenient, I must divide the total value by the number of units
According to the above, the second option would be the cheaper.
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