Nall Custom Pool Inc. needs 10,000 units of a certain part for its manufacturing process. It can buy the part from Wholesale Pool Supplies and Equipment for $53. Nall's plant can manufacture the part for the following costs per unit:
If Nall buys the part from Wholesale, 60 percent of the fixed manufacturing overhead applied will continue to be incurred.
Required:
What is the relevant dollar difference between making and buying the part?
Definitions:
Linking Information
The process of connecting related pieces of data to ensure a flow of understanding or logical sequence.
Organizational Audiences
Organizational audiences are groups of individuals within a structured group or organization who are the intended recipients of a message or information.
Sales Executives
Professionals who are responsible for developing the sales strategies, managing customer relationships, and driving revenue growth within a company.
Property Insurance
Property insurance is a type of insurance policy that provides financial reimbursement to the owner or renter of a structure and its contents, in case of damage or theft.
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