A firm is evaluating the alternative of manufacturing a part that is currently being outsourced from a

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A firm is evaluating the alternative of manufacturing a part that is currently being outsourced from a supplier. The relevant information is provided below:
For in-house manufacturing:
Annual fixed cost = $100,000
Variable cost per part = $140
For purchasing from supplier:
Purchase price per part = $160
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OM4 operations management

ISBN: 978-1133372424

4th edition

Authors: David Alan Collier, James R. Evans

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