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Fixed Cost Per Unit Cost/ Variable CST Purchase Cost Quantity TC (Manufacturing) 50000 125 175 1000 175000

The document compares the total costs of manufacturing a product versus outsourcing by listing the fixed costs, variable costs per unit, purchase costs, quantity, and calculating the total costs of manufacturing as $175,000 and outsourcing also as $175,000, so the difference is $0 and it would be best to outsource.

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Rony
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27 views2 pages

Fixed Cost Per Unit Cost/ Variable CST Purchase Cost Quantity TC (Manufacturing) 50000 125 175 1000 175000

The document compares the total costs of manufacturing a product versus outsourcing by listing the fixed costs, variable costs per unit, purchase costs, quantity, and calculating the total costs of manufacturing as $175,000 and outsourcing also as $175,000, so the difference is $0 and it would be best to outsource.

Uploaded by

Rony
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
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fixed cost per unit cost/ variable cst purchase cost quantity TC (manufacturing)

50000 125 175 1000 175000


TC(outsourcing) TC (manu)-TC (outsourcing)
175000 0 outsource

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