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Author Question: Rubium Micro Devices currently manufactures a subassembly for its main product. The costs per unit ... (Read 221 times)

oliviahorn72

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Rubium Micro Devices currently manufactures a subassembly for its main product. The costs per unit are as follows:

Direct materials$54.00
Direct labor35.00
Variable overhead40.00
Fixed overhead34.00
Total$163.00

Crayola Technologies Inc. has contacted Rubium with an offer to sell 6,000 of the subassemblies for $144.00 each. Rubium will eliminate $89,000 of fixed overhead if it accepts the proposal.  Should Rubium make or buy the subassemblies? What is the difference between the two alternatives?
◦ Buy; savings = $89,000
◦ Buy; savings = $7,000
◦ Make; savings = $1,000
◦ Make; savings = $203,000


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Marked as best answer by oliviahorn72 on Mar 6, 2021

katieost

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Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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