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Make-or-buy decision labor cost. The unit costs to produce comparable carrying cases are expected...

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Accounting

Make-or-buy decision
labor cost. The unit costs to produce comparable carrying cases are expected to be as follows:
This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the questions below.
Open spreadsheet
Differential Analysis
Make (Alt.1) or Buy (Alt.2) Carrying Case
May 31
b. Assuming there were no better alternative uses for the spare capacity, it would be advisable
to manufacture the carrying cases. Fixed factory overhead is irrelevant to this decision.
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