Examlex
Value Electronics uses a standard part in the manufacture of different types of radios.The total cost of producing 24,000 parts is $90,000,which includes fixed costs of $30,000 and variable costs of $60,000.The company can buy this part from an external supplier for $5 per unit and avoid 10% of the fixed costs.If Value Electronics decides to outsource the production of the part,how will it impact its operating income?
Silicon Valley
A region in California known as a global center for high technology, innovation, and social media, home to many startups and global tech companies.
NeXT Computer
A technology company founded by Steve Jobs in 1985, known for its innovative computers and software development until it was acquired by Apple Inc. in 1996.
Eastern European
Relating to the eastern part of the European continent, which includes countries such as Poland, Hungary, and Romania, among others.
Communist Government
A form of government led by a single party that claims to follow Marxism-Leninism, where the state controls the means of production and there is an absence of privately owned property.
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