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How many bar stools would Simp co need to match the increase in profits if it did not switch to centralized purchasing? *Material cost of
How many bar stools would Simp co need to match the increase in profits if it did not switch to centralized purchasing?
*Material cost of input at a quantity of 350,000 or below are $8.00 per unit.
*Material costs of inputs at a quantity between 350,001 and 700,000 are 5% less per unit.
*Material costs of inputs at a quantity greater than 700,000 are 10% less per unit.
Production Labor costs pe bar stool is $4.00.
Machinery costs for each bar stool are $4.00.
Corporate overhead per bar stool is $2.00.
The selling price per bar stool is $20.00.
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