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Dipuisto - 2 8 0 4 Inc. manufactures radios at an annual production level of 5 0 , 0 0 0 units. At this production
Dipuisto Inc. manufactures radios at an annual production level of units. At this production level, the cost per unit for a radio is as follows: Direct materials $ Direct labor $ Variable manufacturing overhead $ Supervisor's salary $ Other fixed manufacturing overhead $ Total cost per radio $ An outside supplier has offered to sell the radios to Dipuisto for $ per unit. If Dipuisto accepts this offer, it can use the radio production space as a warehouse instead, replacing the warehouse it currently rents for $ If the radios are purchased from the outside supplier, of the supervisor's salary and of the other fixed manufacturing overhead costs can be eliminated. What is the financial advantage of accepting the outside suppliers offer for Dipuisto multiple choice $ $ $ $
Dipuisto Inc. manufactures radios at an annual production level of units. At this production level, the cost per unit for a radio is as follows:
Direct materials $
Direct labor $
Variable manufacturing overhead $
Supervisor's salary $
Other fixed manufacturing overhead $
Total cost per radio $
An outside supplier has offered to sell the radios to Dipuisto for $ per unit. If Dipuisto accepts this offer, it can use the radio production space as a warehouse instead, replacing the warehouse it currently rents for $ If the radios are purchased from the outside supplier, of the supervisor's salary and of the other fixed manufacturing overhead costs can be eliminated.
What is the financial advantage of accepting the outside suppliers offer for Dipuisto
multiple choice
$
$
$
$
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