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Question 2 5 5 pts Acme Company plans to outsource production of a component part that it currently produces in - house. At the budgeted

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Question 25
5 pts
Acme Company plans to outsource production of a component part that it currently produces in-house. At the budgeted annual production level of 1,000 units, Acme's per-unit manufacturing costs for the part are as follows: direct materials $105, direct labor $65, variable overhead $23, and fixed overhead $50. Producing one unit of the part in-house requires 4 hours of machine time. If Acme buys the part from an outside supplier, Acme will avoid 30% of the fixed overhead costs and Acme can use the freed-up machine time to manufacture another product that requires 8 hours of machine time pe unit to produce and has a contribution margin of $250 per unit. What is the maximum per-unit purchase price that Acme can pay the outside supplier and break even on this outsourcing decision?
$353
$318
$288
$333
None of the above
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