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Business, 23.03.2020 21:39 rue61

3. Suppose that a firm can produce a part it uses for $875 per unit, with a fixed cost of $75,000. The company has been offered a contract from a supplier that allows it to purchase the part at a cost of $920 per unit, which includes transportation. (a) If the anticipated production volume is 1500 units of the part, compute the total cost of manufacturing and the total cost of outsourcing. (b) What is the best decision

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3. Suppose that a firm can produce a part it uses for $875 per unit, with a fixed cost of $75,000. T...

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