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Alpha Company's production manager reports that Alpah can manufacture one unit of its product for the following costs: Direct material Direct labor Overhead Total product
Alpha Company's production manager reports that Alpah can manufacture one unit of its product for the following costs: Direct material Direct labor Overhead Total product costs per unit $ 8.80 24.80 44.00 $ 77.60 An external vendor offers to provide Alpha with all the units it needs at $66.20 per unit. If Alpha buys from the vendor, the company will still incur 35% of its overhead. Alpha should choose to:
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