Problem 3 Marburg Manufacturing produces various-sized plastic panels for its main product. The manufacturing cost for small bottles is SAR 200 per unit, including fixed costs of SAR 65 per unit. A proposal is offered to purchase plastic panels from an outside source for SAR 180 per unit, plus SAR 6 per unit for freight.

Prepare a differential analysis to determine whether the company should make (Alternative 1) or buy (Alternative 2) for bottles, assuming fixed costs are not affected by the decision.