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Sheffield, Inc. can produce 100 units of a component part with the following costs: Direct Materials Direct Labour Variable Overhead Fixed Overhead $30600 O Make
Sheffield, Inc. can produce 100 units of a component part with the following costs: Direct Materials Direct Labour Variable Overhead Fixed Overhead $30600 O Make and save $4300. Buy and save $12800. O Make and save $1000. O Buy and save $1000. 12400 32000 22300 If Sheffield Inc. can purchase the component externally for $87800 and only $8500 of the fixed costs can be avoided, what is the correct "make-or-buy decision"?
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