A standard machine tool and an automatic machine tool are being compared for the production of a component. Following data refers to the two machines.
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Standard Machine Tool
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Automatic Machine Tool
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Set Up time
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30 min
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2 hours
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Machining time per piece
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22 mm
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5 mm
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Machine rate
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Rs.200/Hour
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Rs.800/Hour
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The breakeven production batch size, above which the automatic machine tool will be economical to use, will be
(a) 4 (b) 5 (c) 24 (d) 225