Maurice Tutor

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  • MCS,PHD
    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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    Phoniex University
    Oct-2001 - Nov-2016

Category > Accounting Posted 24 Jul 2017 My Price 3.00

Audio Systems, Inc.

One component of a radio produced by Audio Systems, Inc., is currently being purchased for $225 per 100 parts. Management is studying the possibility of manufacturing that component. Annual production (usage) at Audio is 70,000 units; fixed costs (all of which remain unchanged whether the part is made or purchased) are $38,500; and variable costs are $0.95 per unit for direct materials, $0.55 per unit for direct labor, and $0.60 per unit for variable overhead. 
Using incremental analysis, decide whether Audio Systems Inc., should manufacture the part or continue to purchase it from an outside vendor.

Answers

(5)
Status NEW Posted 24 Jul 2017 11:07 PM My Price 3.00

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