Worldsystems manufactures an optical switch that it uses in its final product. Woldsystems incurred the following manufacturing costs when it produced $6600$ units last$$ year:

View the manufacturing costs.LOADNG...

Another company has offered to sell Worldsystems the switch for $$12$ per unit. If WS buys the switch from the outside$$ supplier, none of the fixed costs are avoidable. The company prepared an outsourcing decision analysis to show the cost per unit of making the switches versus the cost per unit of buying$($outsourcing$)$ the switches.

View the outsourcing decision analysis.LOADING...

WS needs $83000$ optical switches next year$($assume same relevant$$ range$).$ By outsourcing$$ them, WS can use its idle $$130000$facilities to manufacture another product that will contribute to operating$$ income, but none of the fixed costs will be avoidable. Should WS make or buy the$$ switches? Show your analysis.