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The Cycle Division of Vaughn Company has the following per unit data related to its most recent cycie called Roadbuster. Presantly, the Cycle Division burs
The Cycle Division of Vaughn Company has the following per unit data related to its most recent cycie called Roadbuster. Presantly, the Cycle Division burs its body frames trom an outside supplier. However Vaugha has another division, Sheifeld, that makes body frames for other cycle companies. The Cycle Division believes that Shetfield's product is suitable for its new Roadbuster cycle. Presently, Shetheld sells its frames for $345 per frame. The variable cost for. Shetfield is $258, The Cycle Division is willing to pay $277 to purchase the frames from Sheffield. Assume that Sheffield has excess capacity and is able to meet all of the Cycle Division's needs. If the Cycle Division buys 1,110 frames from Sheffeld, determine the following: (Enter negative amounts usirg either a negative sign preceding the number eg -45 or parentheses eg. (45).)
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