Determine the breakeven quantity


A company has two alternatives for meeting a customer requirement for 9,000 units of a specialty molding. If done in-house, fixed cost would be $350,000 with variable cost at $30 per unit. Alternative two is to outsource for a total cost of $80 per unit. Determine the breakeven quantity and determine if they should make the item in-house or outsource it.

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Business Management: Determine the breakeven quantity
Reference No:- TGS060426

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