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Coronado, Inc. currently manufactures a wicket as its main product. Costs per unit are as follows: Saran Company has contacted Coronado with an offer to
Coronado, Inc. currently manufactures a wicket as its main product. Costs per unit are as follows: Saran Company has contacted Coronado with an offer to sell it 5800 wickets for $18 each. Of Coronado's $8 per unit fixed cost, $5 per unit is unavoidable. Should Coronado make or buy the wickets and why? Buy because the cost savings is $5800 Make because the cost savings is $5800 Make because the cost savings is $11600 Buy because the cost savings is $17400
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