A company is considering making a component that they have perilously purchased. The manager has asked you to calculate the breakeven volume for this decision. You have to following information:

The price to purchase this component is $65/unit

The variable cost to make this item in house is $32/unit (material and Labor) In order to make this, you will need to incur the following fixed costs:

Rent for the space to manufacture of $1150/month

Supervisors salary $53,000 cost to the company

Machinery that you can lease at $6200/month

Hint: 2 equations, 1 unknown.