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An outside supplier hes olfored to sell the compony all of these parts it needs for $52.60 o unic. if the compary accepts this offer,
An outside supplier hes olfored to sell the compony all of these parts it needs for $52.60 o unic. if the compary accepts this offer, the facitives now being used to matio the part could be used to make more units of a prodoct that is in high dersand. The additional contribution margin on this other product would be 5330,000 per year. It the part were purchased from tho outside supplier, all of the drect labor cost of the part would be awoided. Howevec, 523.90 of the fixed manufacturing overhead cest being applied to the pait would continue even if the poit were purchased from the cutsile supplier. This find manufacturing overhend cost would be applied to the compaoys remaining products What is the maximum amount the company should be willing to pay on outside suppliee per unit for the part if the supplier commits to supplying all 44 , ooo units required each year? (Round your intermediate calculations to 2 decimal pleces.)
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