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murray corp currently makes 6470 subcomponents a year in one of its factories. The unit cost of produce are: Direct materials $4 direct labor $2
murray corp currently makes 6470 subcomponents a year in one of its factories. The unit cost of produce are:
Direct materials $4
direct labor $2
variable manufacturing overhead 1
fixed manufacturing overhead 2
an outside supplier has offered to provide murray corp with the 6470 sub components are a $16 per unit price. Fixed overhead is not available. if murray corp decides to buy from the outside supplier, the impact of net income will be?
fixed overhead is not avoidable *****
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