InteliSystems manufactures an optical switch that it uses in its final product. InteliSystems incurred the following manufacturing

costs when it produced $71,000$ units last year:

$($Click the icon to view the manufacturing costs.$)$

Another company has offered to sell InteliSystems the switch for $$10\mathrm{.}00$ per unit. If InteliSystems buys the switch from the

outside supplier, none of the fixed costs are avoidable. The company prepared an outsourcing decision analysis to show the cost

per unit of making the switches versus the cost per unit of buying $($outsourcing$)$ the switches.

$($Click the icon to view the outsourcing decision analysis.$)$

InteliSystems needs $79,000$ optical switches next year $($assume same relevant range$).$ By outsourcing them,

InteliSystems can use its idle facilities to manufacture another product that will contribute $$130,000$ to operating income,

but none of the fixed costs will be avoidable. Should InteliSystems make or buy the switches? Show your analysis.

Complete the Best Use of Facilities Analysis. $($Enter a $"0"$ for any zero amounts.$)$

Data table

Data table