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Homework: Chapter 25 Homework Save Score: 0 of 2 pts 9 of 11 (8 complete) HW Score: 43.13%, 8.63 of 20 pts E25-18 (similar to)
Homework: Chapter 25 Homework Save Score: 0 of 2 pts 9 of 11 (8 complete) HW Score: 43.13%, 8.63 of 20 pts E25-18 (similar to) X i More Info Sensor Systems manufactures an optical switch that it uses in its final product. The switch has the following manufacturing costs per unit: E (Click the icon to view the costs.) (Click the icon to view additional information.) Prepare an outsourcing analysis to determine whether Sensor Systems should make or buy the switch. (For the Difference column, use a switches in-house.) Another company has offered to sell Sensor Systems the switch for $18.50 per unit. If Sensor Systems buys the switch from the outside supplier, the idle manufacturing facilities cannot be used for any other purpose, yet none of the fixed costs are avoidable. Make optical switch Outsource optical switch Difference (Make-Outsource) X i Data Table Variable costs: Direct materials Direct labor Variable overhead Direct materials Direct labor Variable overhead 8.00 2.00 7.00 Purchase price from outsider Total differential cost per unit Fixed overhead 7.50 24.50 Manufacturing product cost Print Done Enter any number in the edit fields and then click Check Answer. 1 part remaining Clear All Check
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