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Author Question: Paris Manufacturing Company Inc. uses 400 units of Part #4317 each year in the manufacture of one of ... (Read 40 times)

kled

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on: Feb 5, 2023
Paris Manufacturing Company Inc. uses 400 units of Part #4317 each year in the manufacture of one of its products. The company currently produces the part internally, but an outside supplier has offered to provide the part at a price of $20 per part. If Paris chooses to purchase the part from the outside supplier, one third of it's the fixed manufacturing overhead will be eliminated. The company's standard unit cost of producing the part is listed below.

Direct material$  8
Direct labor6
Variable manufacturing overhead5
Fixed manufacturing overhead    9
Total unit cost$28

Required:

Ignoring qualitative factors, should Paris continue to make the parts internally or purchase them from the outside supplier? Why?
Managerial Accounting ¦ Davis ¦ 4th Edition
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Marked as best answer by kled on Feb 5, 2023

khudija

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Reply #1 on: Feb 5, 2023
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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kled

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Reply 2 on: Feb 5, 2023
Great answer, keep it coming :)

raili21

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Reply 3 on: Yesterday
Gracias!

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