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Instant Enterprises manufactures one of the components used to assemble its main company product Specialty Products, inc, has offered to make the component at a

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Instant Enterprises manufactures one of the components used to assemble its main company product Specialty Products, inc, has offered to make the component at a cost of $1250 per unit. Instant Enterprises' current cost is $1525 per unit of the component, based on the 80,000 components that instant Enterprises currently produces. This current cost per unit is based on the following calculations Read the requirements. component is outsourced. However, the freed capacity could be used to build a new product. This new product would be expected to generate $28,000 of contribution margin per year: Requirement 1. If instant Enterprises outsources the manufacturing of the component, wilf operating income increase or decrease? By how much? (Enfer a "O for any zero balances Use a minus sign or parentheses in the Diferenco column when the cost to make exceeds the. cost to buy) Data table Requirements 1. If Instant Enterprises outsources the manufacturing of the component, will operating income increase or decrease? By how much? 2. What is the maximum price per unit Instant Enterprises would be willing to pay if it outsources the component

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