Piels Corporation produces a part that is used in the manufacture of one of its products. The costs associated with the production of 12,000 units of this part are as follows:



Of the fixed factory overhead costs, $55,000 is avoidable. Conners Company has offered to sell 12,000 units of the same part to Piels Corporation for $41 per unit.

Assuming there is no other use for the facilities, Schmidt should ________.

		make the part, as this would save $16 per unit
		make the part, as this would save $14 per unit
		buy the part, as this would save the company $192,000
		buy the part, as this would save $16 per unit

Despite a decreased government revenues due to the pandemic the government of the UAE increased its spending. What was the logic behind this move? Governments' demand for goods and services was Increased to prevent sharp price increases Governments demand for goods and services was increased for social and political purposes Government spending increased to compensate for the fall in private consumption and Investment expenditures There was no logic behind what the UAE government did