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Outsourcing decision analysis CoolSystems manufactures an optical switch that it uses in its final product....

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Outsourcing decision analysis CoolSystems manufactures an optical switch that it uses in its final product. CoolSystems incurred the following manufacturing costs when it produced 69,000 units last year: View the manulacturing costs: Another company has offered to sell CoolSystems the switch for $15.50 per unit. If CoolSysterns buys the switch from the outside supplier, none of the fixed costs are avoidable. The company prepared an outsourcing decision analysis to show the cost per unit of making the switches versus the cost per unit of buying (outsourcing) the switches. Viaw the outsourcing decision analysis. CoolSystems needs 82,000 optical switches next year (assume same relevant range). By outsourcing them, CoolSystems can use its idle facilities to manufacture another product that will contribute $220,000 to operating income, but none of the fixed costs will be avoidable. Should CoolSystems make or buy the switches? Show your analysis Complete the Best Use of Facilities Analysis. (Enter a " 0 " for any zero amounts.) Manufacturing costs

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