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please help will upvote Trey's Trucks uses a standard part in the manufacture of several of its trucks. The cost of producing 50,000 parts is
please help will upvote
Trey's Trucks uses a standard part in the manufacture of several of its trucks. The cost of producing 50,000 parts is $150,000, which includes fixed costs of $60,000 and variable costs of $90,000. The company can buy the part from an outside supplier for $3.20 per unit and avoid 30% of the fored costs. If the company makes the part, how much will its operating income be? A. $118,000 less than if the company bought the part B. $118,000 greater than if the company bought the part C. $52,000 less than if the company bought the part D. $52,000 greater than if the company bought the part Step by Step Solution
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