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Part B: (8 marks) Zaman Co. is now producing Product X. The company's accounting department reports the following costs of producing 50,000 units of the

Part B: (8 marks) Zaman Co. is now producing Product X. The company's accounting department reports the following costs of producing 50,000 units of the product X each year: Direct Materials Direct Labor $2 $1 Variable Overhead $1 Fixed cost $1.75 (Expected 50% will save if the company will buy from the outside supplier) An outside supplier from China offered to sell 50,000 units to Zaman Co. at a price of only $5 each. Instructions: 4 | Page Instructions: 4 | Page Should the company stop producing the product X internally or buy them from the outside supplier? (show your calculation)

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