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Why plant B is supposed to be more profitable that A

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Problem 1: There are 2 Plants A and B. The production material and raw material, prices and wages are same at all the plants. We know that as input increases, average fixed cost per unit goes down, that's why plant B is supposed to be more profitable that A, but numbers show the opposite. What's going on?

                             A                B

Output                    50            65

Turnover                 500           650

Variable cost            195           355

Fixed cost               300            300

Profit                       5               -5

Reference no: EM132472272

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