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Crane Industries can produce 400 units of a necessary component part with the following costs: Direct Materials $74000 Direct Labour 19000 Variable Overhead 59000
Crane Industries can produce 400 units of a necessary component part with the following costs: Direct Materials $74000 Direct Labour 19000 Variable Overhead 59000 Fixed Overhead 9000 If Crane Industries purchases the component externally, $2500 of the foxed costs can be avoided. Below what minimum external price for the 400 units would Crane choose to buy instead of make? $152000 $154500 $93000 O $161000
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