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Peters, Inc. produces chocolate chip cookies. Costs for producing one batch appear below: Direct materials $ 8.00 Direct labour 3.00 Variable overhead 1.00 Fixed

Peters, Inc. produces chocolate chip cookies. Costs for producing one batch appear below: Direct materials $ 8.00 Direct labour 3.00 Variable overhead 1.00 Fixed overhead 4.00 An outside supplier has offered to produce the cookies for $14 per batch. If Peters decides to buy instead of make the cookies, what is the maximum price it would pay?

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