Pharoahl Industries incurs unit costs of $6($4 variable and $2 fixed) in making an assembly...
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Pharoahl Industries incurs unit costs of $6($4 variable and $2 fixed) in making an assembly part for its finished product. A supplier ofters to make 18,800 of the assembly part at $5 per unit. If the offer is accepted, Pharoah will save all variable costs but no fixed costs. Prepare an analysis showing the total cost saving, if any, that Pharoah will realize by buying the part. (Enter negotive amounts using either a negative sign preceding the number eg -45 or parentheses es. (45)). The decision should be to the part
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