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Each year, Giada Company produces 20,000 units of a component part used in tablet computers. An outside supplier has offered to supply the part for
Each year, Giada Company produces 20,000 units of a component part used in tablet computers. An outside supplier has offered to supply the part for $1.29. The unit cost is: Required: 1. What are the alternatives for Giada Company? 2. Assume that none of the fixed cost is avoidable. List the relevant cost(s) of internal production. List the relevant cost(s) of external purchase. 3. Which alternative is more cost effective and by how much? by $ Buying the part from the external supplier by $
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