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X Company is considering buying a part next year that it currently makes. The budgeted cost function to produce the part is $11.08x+$15,500, where x
X Company is considering buying a part next year that it currently makes. The budgeted cost function to produce the part is $11.08x+$15,500, where x is the number of units produced. A company has ceffered to supply this part to X Comany it for $13.83 per unit. If X Company chooses to buy the part, it will stillineur fixed costs of 57,750 , but it will be able to lease the resources that will become availabie from not making the part for $3,000
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