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Futura Company burchases the 65,000 starters that it is in standard fine of farm tractors from a supplier for the price of $3 80 per

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Futura Company burchases the 65,000 starters that it is in standard fine of farm tractors from a supplier for the price of $3 80 per Due to a reduction in output, the company now has de capacity that could be used to produce the state rather than buying them from an outside supplier. However, the company's chief engineer is opposed to making the starters because the production cost per unit is $14.30 as shown below Dit is Director Hvision Deixtion Variantature 1.00 1.90 312,500 1.00 55.000 0.0 DFD000 total product Futur decides to make the states, a supervisor would have to be hired for a salary of 5123 500) to oversee production. However the company has sufficient de tools and machinery such that no new equipment would have to be purchased. The rent charge above is based on specized in the plant. The total rent in the plant is $87,000 per period Depreciation is due to obsolescence rather than wear and to Required: wat is the financial advantage (advantage of making the 65,000 starters instead of buying them from an outste suppliei

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