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A manufacturer has identified the options for acquiring a machined part. It can make the part on a numerically controlled lathe for $150 per unit
A manufacturer has identified the options for acquiring a machined part. It can make the part on a numerically controlled lathe for $150 per unit (including materials.) It can make the part on a standard lathe for $250 per unit. It can make the part on a machining center for $50 per unit (also including materials.) The manufacturer can acquire a standard lathe for $10,000. It could acquire a numerically controlled lathe for $100,000. A machining center would cost $350,000. It has also found that it can purchase the part for $350 per unit. At which quantity would you use each option for obtaining the machined part
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