Use the Following Information for Questions
Truckel, Inc -Saran Company Has Contacted Truckel with an Offer to Sell

question 96

Multiple Choice

Use the following information for questions
Truckel, Inc. currently manufactures a wicket as its main product. The costs per unit are as follows: $\begin{array}{lr}\text { Direct materials and direct labor } & \$ 11 \\\text { Variable overhead } & 5 \\\text { Fixed overhead } & 8\\\text { Total }&\$24\end{array}$
-Saran Company has contacted Truckel with an offer to sell it 5,000 of the wickets for $18 each. If Truckel makes the wickets, variable costs are $16 per unit. Fixed costs are $8 per unit; however, $5 per unit is unavoidable. Should Truckel make or buy the wickets?

• A) Buy; savings = $15,000
• B) Buy; savings = $5,000
• C) Make; savings = $10,000
• D) Make; savings = $5,000

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Definitions:

Judgmental Sampling

A non-random sampling technique where the researcher selects units to be sampled based on their knowledge and professional judgment.

Network Sampling

A method of sample selection used in research that involves choosing participants through networks or connections within a specific population.

Stratified Random Sampling

Sampling in which randomly selected units from small or minority populations are forced into the sample to ensure that they are represented in proportion to their presence in the population.

Purposive Sampling

A non-random sampling technique in which the researcher selects participants based on specific characteristics or qualities.