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INFORMATION FOR DECISIONS-- MAKE AND BUY CALCULATION (MANUFACTURE) CCTV Costs (60000 units) Direct Material $8300000 Direct Labour $3500000 General and administrative expenses $1700000 Fixed manufacturing

INFORMATION FOR DECISIONS--MAKE AND BUY CALCULATION

(MANUFACTURE)

CCTV Costs (60000 units)

Direct Material $8300000

Direct Labour $3500000

General and administrative expenses $1700000

Fixed manufacturing overhead $2500000

Variable manufacturing overhead $3500000

Total costs $19500000

Per Unit Cost $325

(BUY)

ISKF Offer (60000 units) Per unit $255

Should I buy or make the CCTV?

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