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a. 35. When evaluating a make-or-buy decision, which of the following must NOT be considered? Alternative uses of the production capacity b. The original cost
a. 35. When evaluating a make-or-buy decision, which of the following must NOT be considered? Alternative uses of the production capacity b. The original cost of the production equipment The quality of the supplier's product d. The reliability of the supplier's delivery schedule C. a. 36. Helmer's Rockers manufactures two models. Standard and Premium. Weekly demand is estimated to be 100 units of the Standard Model and 70 units of the Premium Model. The following per unit data apply: Standard Premium Contribution margin per unit S18 $20 Number of machine-hours required 3 If there are 496 machine-hours available per week, how many rockers of each model should Jim Helmer produce to maximize profits? 100 units of Standard and 49 units of Premium b. 72 units of Standard and 70 units of Premium 100 units of Standard and 70 units of Premium d. 85 units of Standard and 60 units of Premium 37. When deciding to lease a new cutting machine or continue using the old machine, the following costs are relevant EXCEPT the $50.000 cost of the old machine. b. $20.000 cost of the new machine. $10,000 selling price of the old machine. d. $3,000 annual savings in operating costs if the new machine is purchased. c. a. c
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