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Company A is considering Make-or-Buy a product of 200 units. If it makes the product by itself, the variable costs will be $10/each unit. If
Company A is considering Make-or-Buy a product of 200 units. If it makes the product by itself, the variable costs will be $10/each unit. If the Company buys it from a supplier at $12/each unit, it can rent out the facility and get rent income. If Company A decides to make the product and get $100 in saving overall, what the rent income has to be?
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