A factory needs a number of 1,000 wooden pallets per year and the cost of one pallet is $1.5, in the event of the company's intentions to manufacture wooden pallets, the price of the wood pallets machine is 100,000 and the cost of maintaining the production machine is 100,000 per year, whichever is better for the company over five years in terms of cost, the production of the pallet or the purchase of a ready wooden pallets.

explanation!!