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Olive Corp currently makes 20,000 subcomponents a year in one of its factories. The unit costs to produce are: An outside supplier has offered to
Olive Corp currently makes 20,000 subcomponents a year in one of its factories. The unit costs to produce are: An outside supplier has offered to provide Olive Corp with the 20,000 subcomponents at a $36 per unit price. Fixed overhead is not avoidable. What is the maximum price Olive Corp should pay the outside supplier? \begin{tabular}{|l|} \hline$32 \\ \hline$36 \\ \hline$40 \\ \hline$44 \end{tabular}
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