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2. There is a supplier in China that can supply the Polymer bush or you can purchase an injection-moulding machine to produce the bushes in-house.
2. There is a supplier in China that can supply the Polymer bush or you can purchase an injection-moulding machine to produce the bushes in-house. The details are outline below: - The Moulding Machine cost, already imported, installed and operational, is R7mil. This machine allows you to produce these bushes at a nett cost of R7.20 per bush. - The supplier in China supplies the bushes to your facility at a nett cost of R9.45 per bush, however, you do run the economic risk of currency fluctuation of 5% (a probability of 0.2 of this occurring) If the supply contract that you have signed with the automotive manufacturer entails supplying 4750 units per month, for the five-year term of the contract, would you purchase that injection moulding machine
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