Question
Suzy's Temporary Employee (STE) business, located in a big city, can do an online criminal background check in-house for $2.06 per search with a fixed
Suzy's Temporary Employee (STE) business, located in a big city, can do an online criminal background check in-house for $2.06 per search with a fixed cost of $33,000. A third-party online security firm offered to do a similar security search for $8.00 per person with an annual service contract with STE. If STE's forecast is 3,300 searches next year, should STE continue to do the search in-house or accept the third-party offer? Use the Excel template Break-Even to determine the best decision. Round your answer for the breakeven quantity to the nearest whole number and round your answer for the amount of saving/loss to the nearest dollar.
Breakeven quantity: searches
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started