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Mc Graw Hill M Stone River manufactures 10,800 products every year. The cost structure of each unit is as follows: Variable manufacturing overhead Direct materials
Mc Graw Hill M Stone River manufactures 10,800 products every year. The cost structure of each unit is as follows: Variable manufacturing overhead Direct materials Direct labor Fixed manufacturing overhead 00-21:30 Total unit cost Per unit $22.00 21.00 17.00 9.00 $69.00 A supplier offers Stone River with 10,800 products at a unit price $76.00. Assume that fixed manufacturing overhead is unavoidable. How would short term profits change if Stone River purchases from the supplier? eBook Multiple Choice no change $97,200 increase $172,800 decrease Pro
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