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Cummings Company has been purchasing bottles forits product at a cost of $40. The cost to produce comparable bottles is expected to be $24 for
Cummings Company has been purchasing bottles forits product at a cost of $40. The cost to produce comparable bottles is expected to be $24 for direct material and $16 for direct labour. If Cuenmings wakes the bottles, fixed overhead cost will not increase and variable factory overhead costs associated Should Cummings make or buy the bottles? Show calculations to support your answer, (a simple yes or no gets no marks) Question 9 Jimbob Co, manufactures three products from a common input in a joint processing operation, pal, of all three products can be sold at the split-olf point. Alternatively all three products can be further processed and all units after further processing can be sold. Information about the products is as follows: Required: Which products should be sold at the split-off point and which should be further processed and sold after further processing
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