Alternative
Buy
Make
Fixed cost
$200,000 per year
$50,000 per year
Variable cost
$15 per unit
$20 per unit
From the given data, determine what range should be preferred to buy?
a. 0 - 40,000 units per year
b. 40,000 or more units per year
c. 30,000 or more units per year
d. 0-40,000 units per year
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