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Outlet Company manufactures plugs at a cost of $44 per unit, which includes $7 of fixed overhead Outiet needs 30,000 of these plugs annually las

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Outlet Company manufactures plugs at a cost of $44 per unit, which includes $7 of fixed overhead Outiet needs 30,000 of these plugs annually las part of a larger product it produces). Wire Company has offered to sell these units to Outlet at $44 per unit. If Outlet decides to purchase the plugs, $60,000 of the annual fixed overhead cost wili be ellminated, and the company may be able to rent the facility previously used for manufacturing the plugs. If the plugs are purchased and the facility rented, Outlet Company wishes to realize $100,000 in net savings annually. To achieve this goal, the minimum annual rent on the facality must be: Mulsiple Choice $250000 $130000 $340.000 $100000 $120,000

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