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A company manufactures various-sized plastic bottles for its medicinal product. The manufacturing cost for small bottles is $50 per unit (100 bottles), including fixed o
A company manufactures various-sized plastic bottles for its medicinal product. The manufacturing cost for small bottles is $50 per unit (100 bottles), including fixed o A proposal is offered to purchase small bottles from an outside source for $38 per unit, plus $4 per unit for freight. This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the questions be Open spreadsheet Prepare a differential analysis dated February 18 to determine whether the company should make (Alternative 1) or buy (Alternative 2) the bottles, assuming fixed cos the decision. If an amount is zero, enter "0". Enter unit costs as positive values. Use a minus sign to indicate negative Differential Effects. Unit costs: Purchase price Freight Variable costs Fixed factory overhead Total unit costs Differential Analysis Make (Alt. 1) or Buy (Alt. 2) Bottles February 18 Make Bottles (Alternative 1) Buy Bottles (Alternative 2) Differential Effects (Alternative 2) Determine whether the company should make (Alternative 1) or buy (Alternative 2) the bottles.
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