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Problem 3 15 poin Problem 3 Han Product Manufactures produces iron folding chairs that are equipped with foam upholstery. The company currently works at a
Problem 3 15 poin Problem 3 Han Product Manufactures produces iron folding chairs that are equipped with foam upholstery. The company currently works at a capacity of 16,000 units per month at a cost: Cost per unit Direct materials Rp 34,500 Direct labor Rp 16,000 Variable manufacturing overhead Rp 8,000 Fixed manufacturing overhead Rp 9,500 Total cost per unit Rp 68,000 Currently there is a company that specializes in making upholstery seats offering a set of seat upholstery at a price of Rp. 22,000. According to the analysis if the seat was purchased from outside the company, the raw material used would be reduced by 40% and the conversion cost (Wage + BOP Variable) by 30%. Will the company make or buy from outside
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