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Svetlanka [38]
2 years ago
5

MSI is considering outsourcing the production of the handheld control module used with some of its products. The company has rec

eived a bid from Monte Legend Co. (MLC) to produce 10,000 units of the module per year for $16 each. The following information pertains to MSI’s production of the control modules:
Direct materials $9
Direct labor $4
Variable manufacturing overhead $2
Fixed manufacturing overhead $3
Total cost per unit $18
MSI has determined that it could eliminate all variable costs if the control modules were produced externally, but none of the fixed overhead is avoidable. At this time, MSI has no specific use in mind for the space that is currently dedicated to the control module production.
Compute the difference in cost between making and buying the control module.
Business
1 answer:
aleksandr82 [10.1K]2 years ago
6 0

Answer:

If the company makes the units in-house, it will save $10,000.

Explanation:

<u>The fixed costs will remain in both options. Therefore, the fixed costs are irrelevant to the decision-making process.</u>

<u></u>

Buy:

Total cost= 10,000*16= $160,000

Make in house:

Total cost= 10,000*(9 + 4 + 2)= $150,000

If the company makes the units in-house, it will save $10,000.

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The fed’s efforts to manage interest rates and thus the availability of credit is known as?
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The fed’s efforts to manage interest rates and thus the availability of credit is known as monetary policy.

To control the total quantity of money in circulation, promote economic growth, and put into action policies like raising interest rates and changing bank reserve requirements, a nation's central bank employs a collection of tools known as monetary policy. The three main tools of monetary policy are the discount rate, reserve requirements, and open market activities.

The Fed influences the cost and accessibility of credit and money to maintain a strong economy as the nation's monetary policy regulator. The three objectives of monetary policy are to curb inflation, moderate employment levels, and maintain long-term interest rates.

To know more about monetary policy refer to: brainly.com/question/28038989

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8 0
2 years ago
Which of the following employees has the largest gross pay? a. Employee A: Total employee benefits $1,500 Total job benefits $49
Fiesta28 [93]

Answer:

<h2>Employee D has the largest gross pay among all the four employees.</h2>

Explanation:

Gross pay is normally calculated by taking the sum or aggregation of the basic salary or direct job related benefits and any additional employee benefits obtained by the employee from the company.

Therefore,for employee A,total gross pay=(49,800+1500)=51,300 dollars

For employee B,total gross pay=(51,200+1050)=52,250 dollars

For employee C,total gross pay=(51,900+1000)=52,900 dollars

For employee D,total gross pay=(52,300+3000)=55,300 dollars

Therefore,based on the above calculations of gross pay of all the employees,employee D has the highest or largest gross pay which is $55,300.

4 0
3 years ago
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Which of the following is appropriate interview attire for women?
hammer [34]

Answer:

I'm going to say the answer is B ! I could be wrong but this is what i think :)

Explanation:

4 0
2 years ago
A red sleeveless dress has been a fast seller at a clothing store. Which of these might raise the price of the dress? A.A change
grigory [225]

Correct answer choice is:


D. A reduction in the number of dresses available from the manufacturer.


Explanation:


As per the law of supply and demand, a product tends to experience a rise in costs if the availability is faded. When the availability is faded, the merchandise becomes a lot more limited and provides the vendor additional power to extend the worth if the purchasers wish to accumulate it.

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3 years ago
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The day of the week a golf course is mostly likely to be closed on is Monday. =)
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3 years ago
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